Wholesale Demand Response Participation Guidelines

Sector: 
Segment: 
Status: 
Date initiated: 
12 March 2021
Effective date: 
24 October 2021
Contact: 
AER General Inquiries AERInquiry@aer.gov.au

Overview

The Australian Energy Market Commission on 11 June 2020 published its final rule determination to introduce a new wholesale demand response mechanism into the National Electricity Market (NEM). Under this rule, eligible large consumers will be able to sell a reduction in their load by way of demand response into the NEM from the effective date, 24 October 2021.

As part of these reforms, the Australian Energy Regulator (AER) must develop Wholesale Demand Response Participation Guidelines. These Guidelines must include guidance about information Demand Response Service Providers (DRSP) must keep regarding compliance with their obligations.

The Guidelines may also include guidance in respect of DRSP obligations in relation to bidding wholesale demand response units when they are baseline non-compliant, or when they will be, or are likely to be, spot price exposed.

On 12 March 2021 the AER published an Issues Paper seeking stakeholder comments on the information DRSPs must retain regarding compliance with their obligations under the new rules. The Issues Paper also seeks feedback on what guidance may help DRSPs to better understand their bidding obligations under the new rule. This feedback will assist the AER to determine the scope of such guidance that may be appropriate and useful to include in the Guidelines. 

Submissions

The AER invites interested parties to make written submissions in response to the Wholesale Demand Response Participation Guidelines Issues Paper by the close of business Friday, 23 April 2021.