The Coordinator of Energy, in consultation with the Market Advisory Committee, has reviewed the allocation of Market Fees and Essential System Services (ESS) costs to Market Participants. This review was conducted under clause 2.2D.1(h) of the Wholesale Electricity Market (WEM) Rules.
The purpose of the Cost Allocation Review (CAR) was to make changes to the methods for allocating Market Fees and ESS costs to align them with the causer-pays principle, to the extent practicable and efficient.
Energy Policy WA has developed an Exposure Draft on the WEM Amending Rules to implement the CAR Review outcomes outlined in the CAR Information Paper for the allocation of:
- Market Fees;
- Regulation Raise and Lower service costs;
- Contingency Reserve Raise service costs;
- Contingency Reserve Lower service costs; and
- Other Essential Systems Services costs.
The WEM Amending Rules to implement the Review Outcomes are due for commencement in October 2025 in conjunction with the Amending Rules to implement five-minute settlement in the WEM.
Energy Policy WA requests stakeholder feedback on this Exposure Draft by 5:00 PM (AWST) on 28 November 2023.
Feedback can be sent to energymarkets@dmirs.wa.gov.au
Late submissions may not be considered. The CAR WEM Amending Rules Exposure Draft can be found on our website.
