supagridThe National Electricity Market (NEM) is Australia's wholesale electricity market, covering the eastern and southern states and territories.
What is the NEM?
The NEM is one of the world's longest interconnected power systems. It operates a real-time market where generators bid to supply electricity and loads bid to consume it. The market is run by the Australian Energy Market Operator (AEMO).
Key concepts
- 5-minute settlement – The market operates in 5-minute dispatch intervals. Prices and quantities are determined every 5 minutes.
- Regional Reference Price (RRP) – The spot price for energy in each region, used for settlement.
- FCAS – Frequency Control Ancillary Services, which help maintain grid stability.
- AEST – NEM data is always in Australian Eastern Standard Time (UTC+10); the market does not observe daylight saving.
Further reading
Learn about NEM regions and DUIDs and units to understand how facilities and generators are identified in the market.