What is the NEM?
Established in 1998, it covers 4,500 kilometres, five state-based networks and six cross-border interconnectors, across New South Wales, Queensland, South Australia, Victoria and the Australian Capital Territory. In fact, the NEM is responsible for around 80 per cent of Australia’s electricity consumption. Western Australia, Tasmania and the Northern Territory are excluded from the network.
The NEM uses 40,000 km of transmission lines and cables to generate just under 200 terawatt hours of electricity annually for almost 10 million Australian homes and businesses.
The total value of electricity traded in the NEM in 2014-2015 was $8.2 billion.
The electricity that is produced is then distributed from electricity suppliers to a broad range of parties, approximately: 26% to commercial and services, 25% to residential users, 24% to manufacturing, 13% to electricity gas and water services, 2% to transport and 1% to agriculture.