LLM-Enhanced Short-Term Electricity Price Forecasting Method for Australian Electricity Market

This study investigates a large language model driven (LLM) framework for intelligent preprocessing and short-term electricity price forecasting in the Australian National Electricity Market (NEM). By integrating unstructured news features, weather signals, and cyclical calendar variables, the model captures both physical and informational drivers of price volatility. A hybrid approach combining quantile regression with conformal calibration achieves statistically significant improvements in accuracy and uncertainty calibration. The framework demonstrates the potential of integrating LLMs into operational forecasting pipelines to support electricity market decision-making and risk management.