AEMC Confirms CPI-Adjusted Market Price Cap for 2025–26

πŸ“’ AEMC Confirms CPI-Adjusted Market Price Cap for 2025–26

 

The Australian Energy Market Commission (AEMC) released its latest annual adjustment to the Market Price Cap (MPC) effective 1 July 2025.

This update is part of a broader framework announced in 2023, which sets out a staged increase to the MPC through to 2027. The new 2025–26 values align with the Consumer Price Index (CPI).

βœ… To note:

  • Changes take effect from 1 July 2025
  • MPC represents the maximum price that can be reached in the spot market during any trading interval

Not locking in a fixed-price contract may leave you exposed to higher default rates, especially as market caps continue to rise. With ongoing market uncertainty and CPI-linked adjustments to energy price caps, now is a critical time to review your energy strategy.

πŸ“ˆ Default rates can impact your operating costsβ€”securing a fixed contract provides greater price certainty and budget control.

The values for 2024-2025, the new base values, and the CPI-adjusted amounts for 2025-2026 are shown in the table below:

 

 

Heading Photo By Michael Pointer on Unsplash