On 8 August 2022, the AEMC received a rule change request from the Victorian Minister for Energy, Environment and Climate Action to amend Part 19 of the NGR, which covers the Victorian declared wholesale gas market (DWGM). The proponent also provided a proposed draft rule.
The request proposed an amendment to Part 19 of the National Gas Rules to require Australian Energy Market Operator (AEMO) to:
- act as buyer of last resort of capacity in the Dandenong liquified natural gas (LNG) storage facility and hold a target level of LNG stock in this facility during the winter months
- act as supplier of last resort in relation to the use of its LNG stock.
The proposed rule also sets out:
- the contractual arrangements to be put in place between AEMO and the LNG storage provider to support AEMO's roles as buyer and supplier of last resort
- how the costs AEMO incurs as buyer and supplier of last resort are to be recovered from market participants
- the accountability and transparency measures that would apply to AEMO in its capacity as buyer and supplier of last resort.
The AER made a submission to the consultation paper on 30 September 2022.
AER Submission to DWGM - Interim LNG storage measures - 30 September 2022
More information
More information can be found at AEMC’s DWGM interim LNG storage measures consultation page.