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AEMC continuing support of wholesale gas market

by Jessica Dickers
October 28, 2015
in Gas, News, Policy
Reading Time: 2 mins read
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The Australian Energy Marketing Commission has made a final rule in support of continuing market operations in the Declared Wholesale Gas Market (DWGM).

The continued operations will be through the production and publication of operating schedules by the Australian Energy Market Operator (AEMO).

The final rule is consistent with AEMO’s proposed rule, in that it provides AEMO with greater flexibility in terms of the modelling approach that it is required to utilise to produce operating schedules, while emphasising the objective of rule 215 that operating schedules should be produced in a way that minimises the cost of satisfying expected demand for gas over the gas day.

The rule also clarifies the process that AEMO must follow to produce feasible operating schedules for all circumstances. The final rule also includes a consequential amendment for the purpose of standardising the language in the rule provisions for producing operating schedules and pricing schedules.

The final rule is likely to contribute to the achievement of the National Gas Objective by promoting regulatory certainty and transparency by clarifying the process AEMO must follow in order to produce and publish DWGM operating schedules. In doing so, the rule is expected to benefit consumers in the long term by promoting the efficient operation of natural gas services.

The rule has been made by the Commission under the faster rule making process. As part of the public consultation process on the rule change request, stakeholders did not object to the request being considered as a request for a non-controversial rule by the Commission.

The final rule will commence on 5 November 2015.

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