Battery storage systems became the most frequently used price-setting technology in the NEM during Q2, accounting for 36% of dispatch intervals, up from 17% in Q2 2025. The shift contributed to a 47% fall in NEM-wide average wholesale spot prices to AU$74/MWh, the lowest Q2 average since 2020. Revenue pressure mounts as price spreads narrowThe same dynamics driving battery storage systems deeper into market operations are compressing the revenue available to them. The NEM’s intraday price profile flattened materially in Q2 2026, with evening peak prices well below Q2 2025 levels, thereby reducing the arbitrage spread available. This policy is expected to accelerate the deployment of co-located battery storage alongside data centre construction as operators seek to meet that obligation.