Risk and governance in the NEM

by Alex Leemon

An introduction to how risk is managed in the NEM through the energy and financial markets as well as various policy instruments. This course also explores the regulatory bodies tasked with implementing decisions which best serve the interests of electricity consumers.
Preview this course

  • Learning Pathway

    Energy fundamentals

  • Level

    Foundational

  • Duration

    1 hour

  • Prerequisites

    None

  • Format

    On-demand masterclass

  • Cost

    $165 incl GST

Who is this course for?

This is a foundational education activity targeted to engage the energy sector workforce:

  • Those in the industry wanting the fundamentals or to upskill
  • Those transitioning into the sector

Learning outcomes

Recognise the market and non-market tools used to manage the NEM
Understand the causes of market risk and the tools for managing it
Understand the role of each regulatory body
Recall the key challenges facing the NEM, now and into the future

Topics covered

  • Ancillary services

    Provides a deeper understanding of the NEM’s two types of ancillary services: FCAS procured in the market and those procured through contracts

  • Managing risk

    Explores the various tools used to manage market risk in the NEM - these tools exist outside of the wholesale spot market

  • Case study: Gas price spikes in May 2022

    Through a case study, explores potential triggers of high gas prices and in turn high electricity prices in the NEM - also analyses how AEMO responded to return to market balance

  • Investment incentives

    Outlines two key policy levers which encourage the private sector’s investment in renewable energy generation and storage
Meet your expert

Alex Leemon

Alex Leemon is a true NEM nerd – from literally crawling through coal-fired power stations to metaphorically crawling through electricity market data, he’s spent the last 15 years trying to figure out how it all works. His career has spanned consulting, retailing, product manufacturing and software, as well as co-founding and writing a newsletter mixing memes and analysis of the NEM.
Write your awesome label here.