Consumer archetypes for a two-sided market

In late 2018, the COAG Energy Council requested the Energy Security Board to advise on a long-term, fit-for-purpose market framework to support reliability, modifying the National Electricity Market (NEM) as necessary to meet the needs of future diverse sources of non-dispatchable generation and flexible resources including demand-side response, storage and distributed energy resource participation.

As part of this new market framework, the Australian Energy Market Commission and the Australian Energy Market Operator are developing policy that would facilitate a more fully developed two-sided market, on behalf of the ESB. The ESB, AEMC and AEMO are considering the capacity and needs of consumers to participate in a more mature two-sided market, and the complementary measures required to support and protect them during the transition.

In light of this, the AEMC engaged ACIL Allen to expand and extend the Supporting Households Framework, developed for Energy Consumers Australia (ECA) in 2018, to consider the needs of consumers in the development of a more effective two-sided market.