Hyper-local wholesale power pricing has been ruled out by government officials working on electricity market reforms, Utility Week can reveal. Sources close to the long-awaited review of electricity market arrangements (REMA) have indicated that nodal pricing, a form of locational marginal pricing (LMP), is “off the table”. Instead, Utility Week has been told that the next stage of the exercise would focus on two options for wholesale market shake-up: the introduction of zonal pricing and more incremental reforms to the existing system.
Ultra-local pricing ‘off the table’ in electricity market reforms
