Consultation on the proposed outcomes of the review of the Non-Co-optimised Essential System Services Framework

In 2025 Energy Policy WA (EPWA), in consultation with AEMO and Western Power, commenced a review of the Non-Co-optimised Essential System Services (NCESS) framework to ensure that the process followed by the responsible parties in identifying the need to procure NCESS remains effective and fit for purpose.

The focus of the Review is on whether the NCESS framework continues to be consistent with the State Electricity Objective (SEO) and was conducted in two stages:

• Stage one focused on strengthening the trigger conditions for the NCESS procurement process to provide clarity, better align with planning and operational signals, and identify emerging needs in a timely manner; and
• Stage two focused on necessary changes to facilitate the growth of Network Support Services (NSS) to avoid the need for network augmentation and minimize costs to consumers where possible.

The first stage of the Review informed the development of amendments to the trigger conditions in Section 3.11A of the Electricity System and Market (ESM) Rules, which were consulted on in late 2025, and made and commenced by the Minister for Energy.

The proposed outcomes of the second stage of the Review are currently out for consultation and includes the following proposed changes:

1. To allow Western Power to utilise the NCESS framework in a more efficient and flexible manner for repetitive Network Support Services (NSS) procurements, a truncated procurement process is proposed provided that certain criteria and conditions are met.
2. A temporary and limited exemption from clause 5.3.1(b) of the ESM Rules is proposed to remove potential barriers to participation in the emerging distribution NSS market in the medium term, by ensuring service providers can realise sufficient value.
3. To support distribution-based NSS necessary to support regional reliability, it is proposed that Market Participant registration, Facility registration, and participation in the Reserve Capacity Mechanism (RCM) is not required for relevant services, provided that set criteria is met.

For the full details of each of the above proposals please refer to the Consultation Paper which can be found by clicking the link below.

Stakeholders are invited to provide written feedback on the Consultation Paper before 5:00pm (AWST) on 10 March 2026 by submitting comments to energymarkets@deed.wa.gov.au.

Late submissions may not be considered.

Any submissions received will be published on Energy Policy WA web site unless requested otherwise.