Energy terms and acronyms can sound like another language. So, we have created a Glossary to give you an understanding of some of the frequently used energy industry terms.
Australian Energy Regulator – (AER)
The AER regulates and enforces compliance within the energy markets and networks under national energy market legislation and rules. AER’s functions are mostly related to energy markets in eastern and southern Australia.
Alternating Current – (AC)
It’s the flow of electricity that changes direction periodically.
Ampere – (A)
An Ampere or “Amp” is a unit of electrical current/rate that electricity is flowing.
Australian Energy Market Operator – (AEMO)
The AEMO’s primary responsibility is to balance the demand and supply of electricity by dispatching the generation necessary to meet demand.
Besides of being a sustainable practice, it prevents you from not having electricity in a blackout or grid interruption.
Batteries are an energy storage device. Coupling batteries with renewable energy generation allows that energy to be stored during times of low demand and released at times of peak demand.
Battery Electric Vehicle (BEV)
Popular known as EV’s (Electric Vehicles), it utilizes energy that is stored in rechargeable battery packs.
A time when there is no light or power because of an electricity failure.
Capacity is the maximum output of electricity that a generator can produce.
Capacity Market Programs – (CAP)
Capacity markets are used in some wholesale electricity markets to pay resources for being available to meet peak electricity demand.
Carbon Dioxide – (CO2)
Carbon Dioxide is a gas which is released by human activities.
The amount of greenhouse gas emissions released into the atmosphere from various sources of activities such as food consumption, clothing, transportation and more.
Carbon Monoxide – (CO)
Carbon Monoxide is a gas naturally present in the atmosphere.
Direct Current – (DC)
An electric current that is uni-directional, therefore flowing continuously in the same direction.
Excess hydropower that cannot be stored or conserved. Also known as Spill Energy.
Electricity is briefly defined as the flow of electric charge generated from the sun (renewable), chemical energy from natural materials or mechanical from the movement of wind and water (renewable).
Energy is a catchall term for the capacity to do work, such as changing light, heat, and movement.
Energy efficiency means minimising energy waste to perform the same function reducing costs and greenhouse gases.
Environmental, Social, and Governance – (ESG)
Ethical standards to measure the companies’ impact on topics such as Climate Change (Environmental), Human rights (Social) and Business Ethics (Governance).
Feed-in Tariff – (FiT)
Feed-in tariffs for renewable energy pay for excess electricity generated by small- scale solar photovoltaic (PV) or wind power systems.
Non-renewable fuels, which include coal, oil, and natural gas. When fossil fuels are burned, they release CO2 and other greenhouse gases, making them the primary contributors to global warming and climate change.
Rate of oscillation measured in the number of changes per second – also known as
The balance of supply and demand controls the frequency. If the electricity demand is higher than supplied, there’ll be less frequency. However, if the supply is higher than the demand, the frequency is higher.
A tool that converts mechanical energy into electrical energy.
Gigawatt-Hour – (GWh)
One billion (1,000,000,000) watts of electricity.
Global Climate Change
Climate change is a long-term shift in global or regional climate patterns. The cause of current climate change is largely human activity, like burning fossil fuels, such as natural gas, oil, and coal.
Any gas that absorbs infra-red radiation in the atmosphere.
A transmission and distribution system grid-connected system allows you to power customer’s home or small business with renewable energy.
Hertz – (Hz)
The number of Hertz equals the number of cycles per second.
An electronic device or circuitry that changes Direct Current (DC) to Alternating Current (AC).
Joule – (J)
Fundamental unit of energy.
Kilowatt – (kW)
One thousand (1,000) watts. A unit of measure of the amount of electricity needed to operate given equipment.
Kilowatt-Hour – (kWh)
The amount of energy used per hour. Your electricity provider charges by how much electricity you use per kilowatt hour (kWh).
Large Scale Certificate – (LGC)
Accredited renewable energy power stations are entitled to create certificates based on the amount of eligible renewable electricity they produce above their baseline. One large-scale generation certificate is equal to one megawatt hour of eligible renewable electricity.
Megawatt – (MW)
A megawatt is one million (1,000,000) watts of electricity.
Megawatt-Hour – (MWh)
A megawatt hour equals (1,000) kilowatts of electricity generated per hour.
Megajoule – (MJ)
A Megajoule itself totals 1 million (1,000,000) Joules (J).
A device for measuring levels and volumes of electricity use.
National Electricity Market – (NEM)
The National Electricity Market is a wholesale market trading electricity between electricity producers and retailers.
National Greenhouse and Energy Reporting – (NGER)
The National Greenhouse and Energy Reporting is a national framework responsible for reporting and disseminating company information about greenhouse gas emissions, energy production and energy consumption.
Combining energy efficiency and renewable energy generation to consume only as much energy as can be produced onsite through renewable sources.
Offset units are used to compensate for emissions a business produces and to bring their carbon footprint down to zero.
An interruption of electric service that is temporary, also known as Blackout.
Peak demand refers to the times of day when electricity consumption is at its highest.
The highest electrical demand within a particular period of time.
Peak Shaving consists of flattening the load profile and reducing the amount of energy purchased from companies during peak hours of energy demand to save costs.
Photovoltaic Cell – (PV)
A semiconductor that converts light directly into electricity. With prolonged exposure to sunlight in your solar panels, these loose electrons start to flow in a circuit. The energy from these moving electrons can be captured and turned into electricity.
A power plant is an industrial facility that generates electricity from primary energy – also known as natural sources.
Power Purchase Agreement – (PPA)
A Power Purchase Agreement often refers to a long-term electricity supply agreement between two parties, providing the benefit of price security, opportunities to finance investments in new power generation capacities or reducing risks associated with electricity sales and purchases.
A reliable power system has enough generation, demand response and network capacity to supply customers with the energy that they demand with a very high degree of confidence.
Renewable energy is energy that is generated from natural processes that are continuously replenished. Also known as “Clean Energy”.
A market in which electricity and other energy services are sold directly to the end-use customer.
Science Based Targets initiative – (SBTi)
Drives ambitious climate action in the private sector by enabling organizations to set
science-based emissions reduction targets.
The protection from heat gains due to direct solar radiation.
Small-Scale Generation Certificates – (STC)
STCs create a financial incentive to install small-scale renewable energy systems by reducing upfront installation costs. One STC is equal to one megawatt hour of renewable electricity.
Solar Feed-in Tariff
A solar feed-in tariff is the amount your electricity retailer pays you for any electricity your solar energy solution generates that you don’t use or store and is fed back into the grid.
They are constructed from a series of photovoltaic – Read Photovoltaic Cell section ‘P’ – cells arranged into a panel. They come in various rectangular shapes and are installed in combination to generate electricity.
Electricity generated from solar radiation.
The balance between ecological, human, and economic health and vitality through sustainable practices.
In simple words, a tariff is the price you’re charged for the energy you consume.
Terawatt hour – (TWh)
A terawatt-hour is equal to outputting one trillion watts for one hour.
Thermal energy is energy possessed by an object or system due to the movement of particles within the mentioned above carried by heat flow.
Steel towers and wires that carry electricity to everyone’s homes, schools and workplaces.
Ultrahigh Voltage Transmission – (UVT)
Electricity transportation over bulk-power lines at voltages greater than 800 kilovolts.
In short, your utility company sells you electricity and connects it to your home.
Permission granted for a limited time (under stated conditions) for a company to operate outside the limits prescribed in a regulation.
Volt – (V)
One Volt is defined as energy consumption of one Joule per electric charge of one Coulomb.
Watt – (W)
A Watt is a unit of power, and power is the rate at which energy is produced or consumed.
Watt-Hour – (Wh)
One watt of power expended for one hour, which represent one thousand (1,000) of a kilowatt-hour.
Wholesale Power Market
Generators and retailers trade electricity in Australia under NEM – National Energy Market – read NEM’s description, Section ‘N’.