AEPC_2025_21 Certification of Reserve Capacity

The consultation process

The consultation process is outlined below. Dates are indicative only and subject to change.

Procedure change proposal

Electricity System and Market Rules – Clause 2.10

Date of Notice: 12 November 2025

Matter under consultation

AEMO commenced the Procedure Change Process to propose amendments to the WEM Procedure: Certification of Reserve Capacity for alignment with amendments to the ESM Rules under Schedule 2 of the Wholesale Electricity Market Amendment (RCM Reviews Sequencing) Rules 2025, which are scheduled to commence on 1 January 2026.

The amendments incorporated changes to implement outcomes from the WEM Investment Certainty Review (WIC Review), that will apply for the 2026 Reserve Capacity Cycle.

AEMO proposed the following amendments to ensure consistency with the Amending Rules and to implement process improvements:

• New paragraph 5.4 was inserted to provide for the types of evidence a Market Participant may submit to support AEMO’s assessment of whether a Non-Intermittent Generating System or Electric Storage Resource is fuelled by renewable energy sources to access the 10-year RCP price guarantee.
• New paragraph 5.5 was inserted to accommodate the process by which a Market Participant for a Non-Intermittent Generating System can voluntarily submit evidence to AEMO, for the relevant Reserve Capacity Year and for the previous Reserve Capacity Year, and for AEMO to make an assessment.
• New paragraph 7.3 was inserted to accommodate the process by which a Market Participant for an Electric Storage Resource can voluntarily submit evidence to AEMO, for the relevant Reserve Capacity Year and for the previous Reserve Capacity Year, and for AEMO to make an assessment.
• Paragraph 4.2 was amended and new paragraph 4.3 was inserted to clarify the requirements for data accuracy and sufficiency for applications for Certification of Reserve Capacity, including the circumstances under which a Market Participant may provide minor clarifying information.
• Minor editorial amendments are made throughout the Procedure to improve the descriptive accuracy and clarity of existing processes, correct typographical errors, update in-text references and definitions, and improve alignment with related WEM Procedures and AEMO’s current WEM Procedure template. References from the ‘WEM Rules’ were updated to the ‘ESM Rules’.

AEMO considers the Procedure is consistent with the SEO by enabling efficient investment in new technologies to ensure the quality, safety, security and reliability of supply of electricity to consumers. It implements outcomes from the WIC Review to provide a 10-year Reserve Capacity Price guarantee for new technologies via improvements to the Reserve Capacity Mechanism.

Invitation to make submissions

AEMO invited written submissions on this Procedure Change Proposal, including any alternative or additional proposals may improve the Procedure or better meet the State Electricity Objective under section 3A of the Electricity Industry Act 2004.

AEMO requested that respondents identify any parts of their submission that they wish to remain confidential, explaining why. AEMO advises that it may still publish that information if it does not consider it to be confidential, but will consult with the respondent before doing so.

When making a claim for confidentiality, AEMO encourages respondents to familiarise themselves with Chapter 10 of the Electricity System and Market Rules (ESM Rules), which imposes obligations in respect to the release of documents.

Meetings

AEMO advised before the closing date for submissions, any person may request a meeting with AEMO to discuss the issues and proposed changes raised in the Procedure Change Proposal, stating why they consider a meeting is necessary or desirable.

If appropriate, meetings may be held jointly with other stakeholders.

Subject to confidentiality restrictions, AEMO generally makes details of matters discussed at meetings available to other stakeholders as part of the final published Procedure Change Report (or earlier, where applicable).  

Closing date and time

AEMO advised that submissions in response to this Procedure Change Proposal should be sent by email to [email protected], to reach AEMO by 5.00 pm (AWST) on 10 December 2025.

AEMO advised that all submissions must be in electronic format (pdf or Microsoft Word) and should use the Procedure Change Submission form.

AEMO noted that it is not obliged to consider submissions received after the closing date and time. Any late submissions should explain the reason for the delay and the detriment to you if AEMO does not consider your submission.

Publication

AEMO advised that all submissions will be published on AEMO’s website. Confidential information will not be published, other than as specified above.