WEM Reform Explained
WEM Reform was AEMO’s Program of work to deliver the Foundation Regulatory Framework part of the WA Government’s broader Energy Transformation Strategy which included:
- Development of a DER Roadmap
- Development of an initial Whole of System Plan (WoSP).
The Foundation Regulatory Framework includes two subcomponents:
- Improving Access to the SWIS – changes to Regulations and other instruments to implement constrained network access, as well as necessary, consequential changes to the Reserve Capacity Mechanism (RCM).
- Delivering the Future Power System - Modernisation of the Wholesale Electricity Market to enhance power system security and enable new generators access to the network.
For AEMO, WEM Reform meant delivering a new WEM that addresses today’s security and market effectiveness challenges to shape a better energy future for Western Australia.
New market rules developed by the Energy Transformation Taskforce required more than 60 WEM procedures to be developed or substantially re-written by AEMO and 37 (or around 80%) of AEMO’s current WEM systems to undergo significant change. The WEM Reform Program was designed to achieve this change through an implementation program consisting of more than 20 projects over three years.
WEM Reform had significant impacts on the way we work at AEMO and for our market participants, and the pace of change was fast.