Reforms
On 4 September 2025, Minister Maley announced landmark reforms to the NT electricity market and system to deliver secure and reliable electricity to Territorians at least cost. To find out more, read the Minister’s Media Release.
The Territory Electricity Reform (TEM) program will be implemented through updates to the:
- Electricity Reform Act 2000 (NT)
- a new NT Electricity System and Market Operator Act 2025 (NT)
- supporting regulatory instruments.
A copy of the authorising legislation, passed by the legislative assembly on 23 October, is from the NT Legislation database.
Key reform features
- A whole-of-system plan called the Regulated Electricity System and Investment Plan (RESIP) to guide new electricity infrastructure development in the regulated electricity systems of Darwin-Katherine, Alice Springs and Tennant Creek.
- Implementation of the ‘public procurement model’ in the Darwin-Katherine Electricity System, where a central buyer will be established.
- establishment of Territory Generation as the sole supplier of wholesale electricity services to the Alice Springs and Tennant Creek electricity systems.
- Excision of system control and market operator functions from Power and Water Corporation into NTESMO - an independent statutory corporation, established under the new NT Electricity System and Market Operator Act 2025 (NT), with responsibility for centralised system planning for each regulated electricity system and centralised procurement in Darwin-Katherine.
- Changes to supporting governance arrangements, including establishing the rules for the operation of the system and market (TEM Rules), and assigning their administration to the Minister for Energy.
Key benefits
- Centralised whole-of-system planning will coordinate future development of electricity infrastructure by determining the appropriate size, type, location and timing of assets required to keep the grid stable and reliable while accommodating consumer uptake of behind the meter solar.
- Centralised procurement and contracting in the Darwin-Katherine electricity system will maximise bulk buying power, reduce contracting risks and bring efficiencies into the system.
- Improved governance arrangements and clearer roles and responsibilities will provide central policy coordination and enhance transparency and market integrity.
Policy development
The Department of Mining and Energy is implementing the market reforms, in close consultation with key stakeholders. An industry reference group (IRG) has commenced to provide feedback on detailed design of reform elements.
| Reform topic | IRG date | Materials |
|---|---|---|
| Central planning framework | 7 October 2025 | Consultation slide deck PDF (1.2 MB) |
| TEM reform recap and workplan | 16 February 2026 | TEM reforms recap PDF (460.9 KB) |
| Regulations development plan | 16 February 2026 | Regulations development plan PDF (308.9 KB) |
| DKPS procurement framework | 16 February 2026 | DKPS procurement framework PDF (309.6 KB) |
Consultation on tranche 1 exposure drafts
Regulations and rules are required to support the staged commencement of the TEM reform legislation that was passed in October 2025.
Tranche 1 exposure drafts have been prepared for public consultation and include:
- Regulations to support the stage 1 commencement of the Electricity Legislation Amendment (Market Reform) Bill 2025 Act.
- Part A of the TEM Rules chapter on governance.
The stage 1 regulations relate to governance matters, including the establishment of the:
- new TEM Rules
- TEM Rules Objective
- rule change provisions.
The TEM Rules Objective will guide policy development for the sector. It requires that the long-term interests of consumers in relation to quality, safety, security and reliability of supply and the price of electricity, are front and centre when considering any rule changes.
The rule change provisions enhance overall governance and transparency by enabling any interested person to propose rule changes for the minister’s consideration. The rule change process will be run by the minister’s agency and includes prescribed public consultation processes.
The governance chapter of the TEM Rules Part A, sets out the consultation processes for making and amending TEM Procedures under the TEM Rules. These procedures will outline the operational processes for how functions in the TEM Rules will be carried out.
Public consultation closes on Thursday 3 September 2026.
Email submissions to territoryelectricitymarket.dme@nt.gov.au.
Consultation documents
Read the consultation documents supporting tranche 1 of the TEM reforms.
Contact us
For more information about the TEM reforms in the NT, email territoryelectricitymarket.dme@nt.gov.au.
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