Summary

The Financial Page charts or and tabulates the gross margin, components of gross margin, key variables and variables that relate to gross margin, regulation enablement and non-enablement factors and other metrics such as market share of FCAS, particularly regulation services.  Useful for reporting performance for financial purposes or to better understand how gross margin can be improved. .  The primary use is to better understand the revenues and liabilities for regulation FCAS so that revenues may be improved and liabilities can be identified and therefore reduced.  The reports are specifically designed to be aggregated over both time (from 5 min to 1 year) and units (from single units to stations, portfolios and regions).   

Calculation of raise/lower non enablement and enablement factors

The recovery of regulation FCAS costs is described in AEMO's document, "REGULATION FCAS CONTRIBUTION FACTOR PROCEDURE".  The preceding step in aggregating a portfolios factor, "Area Portfolio Factor" is to calculate the Raise and Lower Enablement Factors, REF and LEF respectively, and the Raise and Lower Non-Enablement Factors, RNEF and LNEF respectively.  The following example shows how to calculate these four values for a station, in this case Vales Point.  

Definition of gross margin and the components

A full description and derivation of gross margin and the components and underlying variables can be found in the PAGE within "FCAS pays documentation":  "regulation gross margin"