AEMC commences consultation on two Rule Change proposals, to do with Contingency FCAS

It’s Thursday 20th November 2025 and the AEMC has published one consultation paper with respect to the ‘National Electricity Amendment (Optimising contingency size in dispatch and Allocating FCAS contingency costs ) Rule’ here:

2025-11-20-AEMC-Consultation-ContingencyFCAS

 

Submissions to the consultation paper are due on 18 December 2025.

This consultation paper relates to two (related) Rule Change processes, as follows:

 

ERC0359

Optimising contingency size in dispatch

ERC0360

Allocating contingency FCAS costs

The AEMC says:

‘This proposal seeks to require AEMO to co-optimise the size of the largest credible contingency during dispatch. ’

The 6-page rule change proposal by Grids (submitted way back on 3rd April 2023 … yep, about 2.5 years ago) is here:

2023-04-03-Grids-RCP-ContingencyFCAS-Size

The AEMC says:

‘This proposal recommends adopting a ‘runway’ cost allocation approach to recover contingency FCAS costs. ’

The 13-page rule change proposal by Grids is here:

2023-04-03-Grids-RCP-ContingencyFCAS-CostAllocation

 

More information about each of these is collated on the AEMC sub-site here


About the Author

Paul McArdle
Paul was one of the founders of Global-Roam in February 2000. He is currently the CEO of the company and the principal author of WattClarity. Writing for WattClarity has become a natural extension of his work in understanding the electricity market, enabling him to lead the team in developing better software for clients. Before co-founding the company, Paul worked as a Mechanical Engineer for the Queensland Electricity Commission in the early 1990s. He also gained international experience in Japan, the United States, Canada, the UK, and Argentina as part of his ES Cornwall Memorial Scholarship.

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