The rules for when an AEMO accredited Embedded Network Manager (ENM) is required:

  1. When the embedded network has 30 or more customers (30 or more different ABN’s)

and/or

  1. If there are one or more tenants has contract with a electricity retailer (goes on market with a child NMI) in the embedded network.

A typical embedded network is typically a large multi-tenanted building or shopping centre whereby the power comes in to the premises at a single point (Parent NMI). Downstream from the Parent NMI, typically tenants are sub metered and electricity is on charged from the building to each tenant based on their consumption.

Regarding Point 1). The criteria for 30 or more customers with different ABN’s. Doesn’t matter how many meters they have, nor how many different advice notices/electricity invoices they received from the embedded network – must be 30 or more customers with different ABN’s.

Regarding Point 2). A child NMI (National Meter Identifier) is defined as a customer who is on market or getting their price for electricity directly from a retailer. They are still in the embedded network but have gone to their retailer of their choice and will receive a bill for their retail peak/off peak price, AEMO charge, meter charge and environmental charges. They will still need to receive a bill from the embedded network for their component of the demand/network charges. So the child NMI customer will receive two bills each month, one from their retailer and one from the embedded network.

It should be noted that child NMI’s do not have an independent electricity feed to their tenancy, but still receive their electricity through the parent NMI and the embedded network. A child NMI would require a meter provider to install a meter/modem, from which their retailer would receive their consumption information. Effectively their sub meter is replaced with a retailer meter. The ENM would be required to administrate all the changes etc in the highly restricted government database (MSATS) and link the child NMI to the parent NMI – so the retailer does not charge the parent NMI owner what the child NMI uses in kWh.

It should also be noted that under the “Power of Choice” regulations any person can choose to have their own retailer. In other words, opt out of the embedded network and go on market directly to a retailer of choice with a child NMI. But due consideration needs to used, as to whether it is economically viable for that customer to do that or remain in the embedded network. Any customer wishing to go child NMI should be consulted regarding the true cost of going child NMI vs remaining in the embedded network.