The Administered Price Cap has increased to $600/MWh as of today 1st December 2022

Exactly five months after Alinta Energy submitted a proposal to increase the Administered Price Cap (APC) to $600/MWh, the rule change has officially come into effect today. Extreme pricing thoughout June 2022 resulted in the APC (which was previously set at $300/MWh) being hit in all four mainland regions of the NEM.

 

 

The rule change is officially labelled as ‘temporary’ and has an end date of June 30th, 2025. During this period, it is expected that longer-term changes to the APC and associated mechanisms will be considered by the AEMC’s Reliability Panel.

 

Timeline of the Rule Change


About the Author

Dan Lee
Dan is a Market Analyst, who joined Global-Roam in June 2013. After a couple of brief stints overseas, he returned to the team permanently in late 2019. Alongside his work at Global-Roam, he has undertaken short-term contract roles as an analyst and researcher in various areas of the energy sector. Dan graduated from the Master of Sustainable Energy program at the University of Queensland in 2024.

2 Comments on "The Administered Price Cap has increased to $600/MWh as of today 1st December 2022"

  1. Thanks for covering this Dan. Just noting that the Reliability Panel has completed the 2022 Reliability Standard and Settings Review and recommended an APC of $500/MWh for the period 1 July 2025 to 30 June 2028 (along with recommended changes to the MPC and CPT).

    The Reliability Panel will now need to submit a rule change request to the AEMC in order to implement the recommended changes to the settings. The AEMC would consider any proposed changes through the usual rule change process, allowing further opportunities for stakeholder input and consultation.

Leave a comment

Your email address will not be published.


*