The reliability standards set out the value consumers place on energy being available when they need it. The standard influences the wholesale market settings, meaning changing the reliability standard translates to what consumers pay for energy.
That’s why our response to the AEMC Reliability Panel’s 2026 Reliability Standard and Settings Review draft report proposes relaxing the reliability standard to better reflect the value of reliability consumers actually value,with other recommendations including:
- Reframing the objectives of market settings to more appropriately reflect their purpose of promoting consumer interests by meeting the reliability standard at the lowest possible cost;
- That all mechanisms (market, non-market and market supporting) influencing and impacting reliability need to be accounted for in adjusting market settings, and;
- That the review of the form of market price settings are undertaken as recommended by the Nelson review, and that this review be conducted by an independent panel.
What’s next?
The final report from the panel is due at the end of April, with a decision whether or not to change the reliability standard. We will continue to follow this process and participate in a review of market price settings in the coming months, continuing to focus on ensuring consumers are paying only as little as possible for the level of reliability they prefer.
