The Australian Energy Regulator (AER) has conducted a transparency review of the inputs, assumptions and scenarios used by the Australian Energy Market Operator (AEMO) to develop its 2022 Integrated System Plan (ISP) for the National Electricity Market (NEM).
The AER’s final report, published today, has centred on whether AEMO was adequately transparent in explaining how it derived at its inputs and assumptions that go towards developing the ISP.
The key document used in the review was AEMO’s 2021-22 Inputs Assumptions and Scenarios Report (IASR).
This is the first time the AER has conducted a transparency review of AEMO’s ISP development process. Transparency in understanding AEMO’s approach is considered important because it promotes stakeholder understanding of key inputs and assumptions used in the ISP, which in turn promotes confidence in the ISP.
The AER’s final report recognises AEMO’s significant and substantial task in developing Australia’s national electricity market roadmap, and offers key findings and recommendations designed to support and strengthen ISP development in the future.
The next transparency review is required following the release of the draft ISP scheduled for December 2021.