Areas of deeper analysis




A (preliminary) Intermediate Guide to How Prices are Set in the NEM

In the process of assembling a long-range data set on how much every single generator has contributed to the price of Energy in each Region of the NEM (which we’re doing for our Generator Report Card 2018) we’ve pulled some preliminary analysis together here of how many dispatch intervals since 1st January 2018 see the Price Setter files highlight instances of setting the price ranging:
from “Very Simple” (at Category 1)
… to “Very Complex” (at Category 5)









We’re preparing an extensive “Generator Report Card”, and would welcome discussion (with your pre-orders)

Following from (what we have seen as) an increase in diversity of concerns (and claims) about different aspects of generator performance, we’re leveraging our extensive data set and capabilities to have a deeper look, leading to the publication of a Generator Report Card with data to 31st December 2018. We’d welcome input from those who wish to pre-order their copies now at an initial low rate.



Energy Supply Disruption – Understand the Customer Drivers

The energy supply industry is now a case study of major disruption and this is causing chaos. We are now witnessing the simultaneous high prices in electricity and gas – importantly at the commodity level – not network driven this time – although that just changed with the AER loss – more petrol on the fire.


NEM FCAS causer pays factor issues for wind and solar farms

Generators used to consider the Australian National Electricity Market (NEM) FCAS causers pays factors (CPF), used to allocate FCAS regulation costs across the market, as an obscure and unimportant technically challenging curiosity. Since 2014, the cost of FCAS regulation services for generators has increased from just under $5 million per year to greater than $60 million for 2016 and now has the attention of all of the generators, especially if their portfolio includes generation assets in regions with a lack of FCAS regulation providers and high prices such as South Australia.


Fast Frequency Service – Treating the symptom not the cause?

The National Electricity Market (NEM) is designed to operate at 50 Hz. Frequency deviation occurs when generation and load are mismatched. It is important in a lightly meshed and long network such as the NEM to maintain tight frequency control and that frequency response is available throughout the network.




Review of the NEM in 2016

Electricity consumption in the National Electricity Market (NEM) increased by 0.8% in 2016, this is on top of a 1.1% increase in 2015. Queensland and NSW experienced increases in consumption with all other states experiencing a reduction.