EXPLORE KNOWLEDGE BASE
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CERI Knowledge Base
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About the CERI knowledge base
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Introduction to Australia’s electricity markets
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Australian consumer insights
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CER technical and interoperability standards
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Connecting a customer to an electricity network
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Connecting a generator to a distribution network
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Utility interconnection (CSIP-AUS)
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Dynamic network export and generation control schemes
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Network load control schemes
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Network tariffs and network support services
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Participating in the National Electricity Market
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Participating in a frequency control market
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Participating in the RERT
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Participating in the Wholesale Electricity Market (Western Australia)
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Participating in the I-NTEM (NT)
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Cyber security and data privacy arrangements
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Consumer protection frameworks
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Participating in the RERT scheme
Last Updated on 5 March 2026
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The RERT scheme is an AEMO out-of-market mechanism for securing additional reserves in the NEM when the market is unable to meet forecast demand and reserve requirements. It provides a strategic safety net for the NEM, and it is generally only triggered when reliability forecasts project a supply shortfall beyond the NEM Reliability Standard or a Lack of Reserve (LoR) 2 or 3 condition is in effect.
This document explains the different RERT arrangements, procurement processes, participation requirements, pricing structures, and the implications for market participants. This document also highlights the evolving nature of RERT in response to increasing CER and market reforms, ensuring readers understand both the operational framework and strategic significance of RERT as a reliability safety net for the NEM.
Depending on forecast lead time, RERT resources can be procured through a range of tenders or panel arrangements, including:
- Short Notice RERT: SN-RERT is used when a reliability shortfall is imminent (less than 7 days), allowing AEMO to rapidly procure and dispatch emergency reserves from pre-qualified providers.
- Medium Notice RERT: MN-RERT is used for reserves needed with 10 weeks to 7 days’ notice. While technical details are pre-agreed, prices are negotiated at the time of activation.
- Long Notice RERT: LN-RERT is used when forecast reliability issues arise with more than 10 weeks’ notice, enabling AEMO to run tenders and contract reserves well ahead of potential shortfalls.
- Victorian Enhanced RERT: VE-RERT is a jurisdictional extension of the RERT framework, allowing the AEMO to contract emergency reserves up to 12 months in advance, compared to the standard 9-month limit under the NER.
- Interim Reliability Reserves: AEMO contracts IRR outside of market processes to address medium term forecast reliability gaps. It is intended to be an interim measure used only where other reserves are deemed to be insufficient.
In each case, contracts are awarded based on location, volume, duration, and cost-effectiveness relative to the VCR.
The VCR is the estimated dollar value per kWh that electricity customers place on avoiding outages in the NEM. It varies by customer type and region. A 2024 review by the AER estimated a residential VCR around $30 per kWh. The RERT helps mitigate or avoid the need for customer load shedding and as a result, RERT pricing can be high on a $/kWh basis relative to potential electricity market values.
The RERT is likely to remain the reliability safety net for the NEM for the foreseeable future and AEMO is expected to continue review baselining methods and verification requirements to allow for increased CER participation overtime.