administered price cap

Stepping to suspension

With all regions of the NEM having been suspended by AEMO on Wednesday 15th June 2022, guest author Allan O’Neil takes an initial look at what’s visible in terms of operations in the NEM.

Two articles on LinkedIn that might be useful reading contrasting the two different Compensation Processes (i.e. AEMO Directions and AEMC APC)

Despite it being overtaken by today’s Market Suspension, with its own compensation arrangements – still might be useful for readers to be aware of these two sources of discussion about the two different sources of compensation that seemed to be at play for a few days under Administered Price Caps (APC) following Cumulative Price Threshold (CPT) being reached.

What would happen if…?

Have already posted a few articles today, but will leave you with a question that one of our readers asked me earlier today… It’s quite a topical question: 1)   with the Cumulative Price Threshold reached in the Victorian DWGM ……

South Australia hits the Cumulative Price Threshold

For only the 5th time in 11 years of NEM history (and the 3rd time for South Australia) four consecutive days of price spikes have forced the Cumulative Price to the Threshold, and AEMO has imposed price caps to prevent retailers from going bust.

Price cap lifted, and Tassie price spikes again

We reported previously that a price cap was invoked in Tasmania on Tuesday 16th June because the Cumulative Price Threshold was reached. In official terminology, this was an Administered Price Period (APP). At 04:00AM this morning, NEMMCO released a market notice advising the market that the APP had been lifted…

Massive Demand, Huge Prices, Load Shedding and the Cumulative Price Threshold (and lessons learnt?)

Wednesday 28th January saw demand across the NEM jump to unprecedented levels, setting a new record of 34,843MW at 16:00 NEM time. On Thursday 29th January, we saw the demand increase still further, leading to prices that stayed high for much of the day (to the point where the Cumulative Price Threshold was reached in VIC and SA and price caps were imposed), and a relatively small amount of involuntary load shedding occurring in VIC and SA.