AER publishes amendments to pricing methodology guidelines for system strength pricing

The Australian Energy Regulator (AER) has published amendments to our transmission pricing methodology guideline to include how to price system strength services in the National Electricity Market (NEM).

System strength is a critical service that supports inverter-based resources such as wind and solar generation, and batteries, as they become a key part of the generation mix in the NEM.

The guidelines now specify:

  • the permitted methodologies for determining the system strength unit price, and
  • the principles for forecasting system strength revenues.

We request transmission networks to submit their amended pricing methodology, using this amended guideline, by 30 November 2022 and invite them to engage with us as they develop their proposed methodologies.

We will publish final decisions on these amended pricing methodologies by 31 January 2023.

Issued date: 
25 August 2022
AER reference: 
AC 133/22
General enquiries - Pricing