The use of aluminum as a reference electrode in the neutral and basic chloroaluminate molten salts poses certain problems related to the uncertainty and irreproducibility in the measured electrode potentials as well as lack of stability in tong-term studies. A new reference electrode based on an insoluble transition metal chloride, e.g., NiCl2 is proposed to address these problems. Ni/NiCl2 forms an electrode of the second kind with high exchange current density and long durability and would be an ideal choice for the electrochemical studies in neutral and basic chloroaluminate melts, including Na/NiCl2 cells.