PGIQ Rating v2 (reliability-adjusted) · as of June 2026
3

🇦🇺 Australia (NEM)

Rated by region (Tier 3-4)
Tier 3 Workable · Rated by region: Tier 3-4 (open a region below for its rating) · Outlook Positive · Med-High confidence · how we score

World-class solar and growing Sydney/Melbourne hubs, but NEM connection delays and higher cost hold it in Tier 3. Self-supply solar is the upside route.

See live grid data →
National overview. This country is rated by region for siting a large load; the sub-region ratings are the actionable ones. Rated regions: Australia NSW (Sydney) · Australia Victoria (Melbourne) · Australia Queensland (Brisbane).

The five pillars behind the tier

Access30%58

Workable but slow access: NEM connection delays and marginal-loss-factor risk.

Availability25%58

Moderate availability; a long, thin grid.

Cost25%45

Higher cost.

Momentum15%62

Real momentum (Sydney top-10 globally).

Carbon5%34

Carbon moderate-high (~460 g), coal phasing down with huge solar.

Default weights, which lean toward cost and access rather than carbon: Access 30 · Availability 25 · Cost 25 · Momentum 15 · Carbon 5. Momentum reflects the data-center build already underway, not just stated intentions.

Reliability overlay

National reliability adjustment: the five-pillar score of 55 is reduced to 51, a deduction of 4 points. A national overview carries the average of its rated regions’ reliability adjustments (Australia NSW (Sydney) 4, Australia Victoria (Melbourne) 4, Australia Queensland (Brisbane) 3), because a national view has to represent all of them, not only the strongest. The region pages carry the actionable ratings and their own adjustments. Reliability is reported as five separate layers, never as one combined label, because they answer different questions and a strong answer on one does not cover a gap in another: what has actually failed on the bulk system, what a forward assessment expects of firm supply, how the local network performs, what your contract actually promises, and what your site is designed to ride through. Any one of them can cap the tier.

Historical bulk-system performance: Minor flags found

National roll-up: storm-driven tower collapses are the demonstrated transmission risk. The Feb 13, 2024 Victoria storm downed six 500 kV towers near Anakie, tripping all four Loy Yang A units (about 2,900 MW lost with two wind farms); the Oct 2024 Broken Hill event blew down seven towers on a radial line and backup failures left 12,700 properties intermittently off supply for two weeks, now the subject of AER Federal Court proceedings against Transgrid. PGIQ read: risk is concentrated in storm corridors and radial fringes, not the metro hubs; see AU-NSW / AU-VIC / AU-QLD.

What this means: A large new load faces occasional exposure here. Monitor conditions and keep a contingency plan.

event-based · Energy Networks Australia, Feb 2024 tower collapse · AER proceedings over Broken Hill outages (RenewEconomy)

Historical utility-territory delivery performance: Minor flags found

The same Feb 2024 storm peaked at 530,000 Victorian distribution customers off supply, one of the largest outage events in the state's history, though around 90% were reconnected within 48 hours. PGIQ read: storm-day fragility with acceptable restoration; blue-sky reliability is not the concern.

What this means: A large new load faces occasional exposure here. Monitor conditions and keep a contingency plan.

event-based · Energy Networks Australia, Feb 2024 event detail

Forward resource adequacy (assessed): Adequacy flagged

11 GW of notified, predominantly coal retirements over the next 10 years (Eraring, Bayswater, Vales Point, Yallourn, Callide B) against 28% consumption growth to 2034-35. AEMO's 2025 ESOO shows an improved outlook, with the earlier Eraring and Yallourn reliability gaps no longer forecast, but it is reliant on all expected investments being delivered on time and in full, and gaps are forecast in all mainland regions later in the decade under the committed-only view. PGIQ read: adequacy hinges on delivery execution, a Watch, not an Elevated, while replacement is committed.

What this means: A large new load faces occasional exposure here. Monitor conditions and keep a contingency plan.

assessed · AEMO 2025 ESOO media release · AEMO 2025 Electricity Statement of Opportunities

Contractual service terms: not assessed

We have not compiled what firm service actually promises here: whether it is firm, non-firm or interruptible, the conditions under which you can be curtailed, the redundancy required of you, and the transfer time behind any N-1 commitment. Treat this as an open diligence item, not as an indication that service is firm.

Ask the utility for the tariff or service agreement terms before relying on firm supply.

Designed site resilience: not applicable at market level

Utility feeds, UPS, storage, on-site generation, islanding, black start and the residual energy you still expect to lose are properties of a specific site design, not of a market. This layer only exists once there is a site, and we never assert it for you.

Confidence: Med-High. Each input is labelled as measured, modelled, or drawn from a specific event, and is framed as a risk to a prospective large new load, not as a verdict on any utility or grid operator. Forward adequacy is an assessment of what is expected, not a measurement of what has happened; it is a forecast and is labelled as one.

Interconnection queue (the line to connect to the grid)

This is a generation and storage interconnection queue. It shows how congested the interconnection system is for new supply. It does not measure how long a new large load waits, and its withdrawal rate is not a load withdrawal rate. The figures below are this market's own, published by its system operator; they are not part of, and not comparable with, the United States queue totals.

Active queue depth

67 GW

Typical wait

36 months

The full queue analysis for this market, which covers the share of projects that give up and leave the queue (the withdrawal rate), how much of the queue is data centers, and the sources, is available through /api/v1/queue/australia with a paid key. These are generation and storage queue figures: they show interconnection-system congestion, not a typical large-load connection wait.

Data provenance and freshness

How solid the data behind this rating is, on two separate axes plus recency. Source reliability is how measured the numbers are, as opposed to triangulated or modelled. Coverage is how many of the decision-relevant data dimensions (reliability, connection, and cost) are compiled for this market. The two are kept apart because they answer different questions: a market can have strong sources on the little that is covered, or broad coverage that still leans on models. Neither grades the rating itself. The rating is a cited opinion, graded separately and falsifiably by the public track record and baseline measurement plan.

Source reliability

High

1 of 2 data layers measured

Coverage

Substantial

2 of 3 dimensions: reliability, connection, cost

Last reviewed

June 2026

per-layer vintages below

LayerMethodVintageFreshnessSource
PGIQ Rating opinionopinionJune 2026CurrentPGIQ methodology
Reliability reviewhistorical2025FreshEnergy Networks Australia, Feb 2024 tower collapse
Interconnection queuemeasuredend-2025 (LBNL 2026)FreshAEMO Connections Scorecard (March 2026)

Freshness reflects each layer's refresh cadence: reliability annual to three-yearly, capacity-auction and queue yearly, tariffs every year or two. The full cross-market freshness dashboard is at /data-quality.

Outlook drivers

↑ Upgrade triggers

  • Big-battery and solar build firms supply and lowers carbon.
  • Self-supply solar for large loads.

↓ Downgrade triggers

  • NEM connection and MLF risk worsen.
  • Cost.

Scheduled to change

Dated, already-announced events that will affect a large load sited here, in date order. These are published facts with sources, not our forecasts, and they matter most when your energization date is years out.
Mid-2026
AEMC final rule on a connection standard for large loads in the NEM
Sets the formal process and obligations for hyperscale connections.
AEMO Connections Scorecard (March 2026)

Key risks

Peer comparison

Trades like
long-thin renewable-heavy grids
Ahead
on solar resource
Behind
ERCOT on access

Evidence behind this rating

The real-world events that test our Tier 3 call for Australia (NEM): 1 supports it. Each is dated and cited, so you can check the rating against what is actually happening on the ground.

AEMO discloses a 5.4 GW data-centre connection queue ✓ Supports the rating
Jun 2026MomentumMateriality: med

First AEMO disclosure (Jun 2026) shows 11 data-centre projects totalling 5.4 GW in the NEM connection queue, ~60% NSW and ~40% VIC; AEMC draft connection-standard rule for large loads due final mid-2026.

Source: AEMO / Certified Strategic ↗
Cited, dated developments tagged to the pillar they bear on, and whether they support or challenge the current tier. A material item flags the market for analyst review and may drive a rating action.
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Rating history

Jun 2026
AffirmedQueue disclosure and a maturing AEMC connection standard improve transparency and revealed build. Tier affirmed, positive outlook supported.
Trigger: AEMO 5.4 GW queue disclosure (Jun 2026)
June 2026
New ratingNew rating: Tier 3 Workable assigned.
🔒 The full time series behind Australia (NEM), how its score, recurring cost, and interconnection queue have moved month by month, is part of the Analyst Desk. The rating actions above are always free.
Every rating action is dated and explained, and the log is only ever added to, never edited. Reviews happen on a regular schedule and whenever a significant event occurs. "Affirmed" means we reviewed a development and the tier held; "Under review" means a significant item is being assessed and the rating could change.

Score history

How Australia (NEM)'s reliability-adjusted score and tier have moved, month by month. Part of your Analyst Desk.

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How does Australia (NEM) compare to the other 79 markets?

This page is our full read on Australia (NEM) alone, and it is free. To decide where a large load should actually go, you need every market side by side, ranked on recurring cost and time-to-connect, with the history and alerts when your shortlist moves. That is the Analyst Desk.

With your Analyst Desk, compare Australia (NEM) against every market side by side, ranked on recurring cost and time-to-connect, with the full history and shortlist alerts.

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