PIAC lodged a submission to AEMO’s issues paper seeking comment on its demand forecasting methodology. PIAC notes that the availability, understanding and use of independent and robust forecasts play an important role in ensuring the efficient planning and operation of the electricity market.
This has become clear not only in the planning of electricity networks (such as in verifying the need for and value of future network investment) but also in the wholesale market (such as the efficient use of the Reliability and Emergency Reserve Trader provisions).Further, with the rapidity of change occurring in the NEM, the affordability crisis facing many consumers, and the current level of public scrutiny, it is essential to understand and communicate the drivers and implications of these changes.
Therefore, PIAC recommends AEMO continue to enhance the transparency as well as the accessibility and understanding of its forecasts.
