The JEC made a submission to the Australian Energy Market Operator’s (AEMO) consultation on a proposal from EnelX to introduce three new baseline methodologies to the Wholesale Demand Response Mechanism (WDRM).
All consumers benefit from higher takeup of demand response, both the directly participating consumers and those that benefit from reduced power prices during periods of market stress.
We argued that all three proposed new methodologies should be introduced on the basis that doing so will increase the pool of potential demand response participants.
We also noted that emissions reductions could be expected to occur as a result of an increase in demand response, and that these reductions should be counted as a market benefit in AEMO’s assessment of the proposals.