On 5 November 2008, the AEMC provided its Final Report to the Ministerial Council on Energy (MCE) regarding the Transmission Reliability Standards Review. The Reliability Panel’s (Panel) Final Report to the AEMC on this review was also published. The MCE requested that the AEMC publish these reports publically. The AEMC submitted these reports to the MCE on 30 September 2008, as specified in the amended terms of reference.
On 3 July 2007, the MCE directed the AEMC, under section 41 of the National Electricity Law (NEL), to conduct a review into electricity transmission network reliability standards, with a view to developing a consistent national framework for network security and reliability. The MCE’s direction also requires the AEMC to conduct a review into the development of a detailed implementation plan for the national electricity transmission planning function and develop a new form of regulatory test, which amalgamates the reliability and market benefits criteria of the current Test and expands the definition of market benefits to include national benefits. A copy of the MCE’s request can be found below. View further information on the National Transmission Planner Review.
On 17 August 2007, the AEMC requested that the Reliability Panel (the Panel), in accordance with section 38 of the NEL, undertake the review of the jurisdictional transmission reliability standards and provide advice to the AEMC. The Terms of Reference require that the Panel provide its final report to the AEMC by 23 September 2008, so that the AEMC can provide a report to the MCE by 30 September 2008.
On 21 December 2007, the Panel published an issues paper on the development of a nationally consistent framework for network security and reliability. The issues paper was the first stage of the consultation process being undertaken by the Panel. The issues paper discusses: existing transmission reliability standards (which are established within the National Electricity Rules and jurisdictional instruments); alternative frameworks for nationally consistent standards; links between transmission standards and other parts of the transmission regulatory regime; and implementation issues surrounding the establishment of a new nationally consistent framework for network security and reliability.
Submissions to the issues paper closed on 8 February 2008.
On 24 April 2008, the Panel published its draft report, “Towards a Nationally Consistent Framework for Transmission Reliability Standards”. The draft report was second stage in the Panel’s work program in the review of transmission reliability standards in the NEM. The draft report responds to submissions to the issues paper, puts forward the Panel’s draft findings and recommendations, and seeks further comments from interested parties, before a final report to the AEMC is prepared. Submissions on the draft report closed on 3 June 2008.
On 30 April 2008, the Panel held a public forum in Melbourne on its Draft Report, “Towards a Nationally Consistent Framework for Transmission Reliability Standards”. The public forum provided an important opportunity for interested stakeholders to engage in the consultation process before the publication of the Panel’s final report to the AEMC. The presentations made at the public forum and a transcript of proceedings.
On 29 May 2008, the Panel published a summary report by KEMA entitled ‘International Review of Transmission Reliability Standards’, to assist the Panel in developing a framework for nationally consistent transmission reliability standards for the NEM. This summary report outlines the:
- transmission reliability standards used in different electricity markets around the world; and
- frameworks used in foreign electricity markets to ensure consistency of transmission reliability standards across multiple jurisdictions and/or separately owned transmission networks.
KEMA subsequently completed two additional advisory reports for the Panel. All three KEMA reports are now contained in a single volume comprising:
Part 1 - International Review of Transmission Reliability Standards - Summary Report
Part 2 - International Review of Transmission Reliability Standards - Detailed Report
Part 3 - Additional response regarding probabilistic planning methodologies
This consolidated volume of advice from KEMA is available below under Consultancy Reports.
On 10 July 2008, the Panel outlined a new process and timetable for this review in order to:
- Allow AEMC involvement, at an early stage, to assist it in preparing its report to the MCE.The Panel's report is an input into the AEMC's formulation of advice to the MCE.;
- Have the Panel publish an Interim Report, which state's the Panel's likely preferred position on a framework for nationally consistent transmission reliability standards; and
- Allow stakeholders to comment on the Panel's likely preferred position before it is finalised and allow the Panel to clarify the features and reasoning for any synthesised, preferred, option. To facilitate this, a joint AEMC-Panel stakeholder consultation workshop be held two weeks after the publication of the Interim Report.
The updated timetable can be found below.
On 5 August 2008, the Panel published its interim report, “Towards a Nationally Consistent Framework for Transmission Reliability Standards”. As part of the Review of Transmission Reliability Standards, this interim report was presented by the Panel to seek stakeholder views on:
- the set of principles that the Panel intends to recommend for developing a nationally consistent framework for transmission reliability standards; and
- the Panel’s interim recommendation on a preferred option for a nationally consistent framework for transmission reliability standards, assessed against these principles.
The Panel has also released a final report produced by KEMA entitled ‘International Review of Transmission Reliability Standards’, which informed the Panel in developing a framework for nationally consistent transmission reliability standards for the NEM. KEMA’s report outlines the:
- transmission reliability standards used in different electricity markets around the world;
- frameworks used in foreign electricity markets to ensure consistency of transmission reliability standards across multiple jurisdictions and/or separately owned transmission networks; and
- differences between deterministic, probabilistic, and hybrid standards and planning methodologies.
On 14 August 2008, the AEMC and the Panel jointly convened a stakeholder workshop at which feedback on the Panel’s preferred option was canvassed. Interested parties that made submissions to this review were invited to attend.
On 1 September 2008, the Panel provided its Final Report, “Towards a Nationally Consistent Framework for Transmission Reliability Standards” to the AEMC. This report provided the Panel’s final recommendations for delivering a nationally consistent framework for transmission reliability standards. In accordance with the Terms of Reference for this review, this Final Report was not published.
On 5 November 2008, the Australian Energy Market Commission (AEMC) published its Final Report to the Ministerial Council on Energy (MCE) on the Transmission Reliability Standards Review. The Reliability Panel’s Final Report to the AEMC on this review was also published. The MCE has requested that the AEMC publish these reports. The AEMC submitted these reports to the MCE on 30 September 2008, as specified in the Review’s terms of reference.
In its Final Report, the AEMC recommended a nationally consistent framework for transmission reliability standards, and also made recommendations in relation to implementation. These recommendations represent a major reform initiative with the potential to improve planning effectiveness and transparency for infrastructure development in the National Electricity Market (NEM). The AEMC considered that these recommendations complement the recommendations made to the MCE in the AEMC’s National Transmission Planning Arrangements report on 30 June 2008, and would achieve the objectives for a national market agreed to by the Council of Australian Governments in its response to the Energy Reform Implementation Group’s Final Report.
View less