Connections fees and rates
AEMO is a not-for-profit organisation, operating on a full cost-recovery basis. AEMO aims to cover costs, without making a profit, and to ensure charges fairly represent the cost and effort to deliver each service. As a member-based organisation, funded by registered participants, we are committed to transparent and accountable financial and risk management.
Annually, AEMO establishes revenue requirements for performing its functions and delivering its priorities, and publishes this in its Budget and Fees document. AEMO’s revenue requirement is determined by establishing efficient and prudent levels of expenditure for the functions and services it provides. Revenue requirements are applied to established fees and charges structures, which apply to market participants that benefit from the relevant functions or services.
Connection and registration fees are charged to the connecting/registering market participant.
Connections charge out rates
The charge-out rates (hourly) which apply for AEMO’s connection role (as System and Market Operator and as connecting TNSP for Victoria) are reviewed and updated each year. These rates reflect both direct (e.g., labour cost) and indirect (e.g., management, legal, digital, training and travel) costs. Fees are charged on a time and materials basis using these charge-out rates and invoiced monthly.
AEMO’s connection charge out rates are included in its annual fees and charges:
In addition to AEMO’s role as system operator, in Victoria AEMO also manages the process of connecting to the Declared Shared Network.
Estimating AEMO’s time
Connections costs vary for each connections process and it is difficult to predict at the start of the process how much time AEMO’s team will need to spend. However, total connection costs are impacted by a range of factors, including:
- the location of the connection point and complexity of proposed generating system
- whether the connection is to the transmission network or a distribution network
- the size of the proposed generating system
- whether it is a new connection or an alteration to an existing generating system
- whether the proposed generating system is connecting to a weak part of the network
- the quality and accuracy of the information submitted and the number of iterations required to assess the application.
Registration fees
Market registration fees are separate from connection enquiry and assessment fees. Registration fees vary according to the market, category/capacity and service, each requiring different activities within AEMO to complete their registration.
A list of market registration fees is included in AEMO’s annual fees and charges:
For more information about registration, email onboarding@aemo.com.au or visit the registration pages on our website: