The AEMC has published discussion notes from the fourth meeting of the technical working group which is helping to inform the AEMC’s assessment of the Enhancement to the Reliability and emergency reserve trader (RERT) rule change request.
This project is looking at how AEMO can procure ‘standby’ electricity reserves at the lowest cost to consumers when a supply shortfall is forecast.
Members of the group are experts from generators, network businesses, retailers, consumer groups and AEMO. The meeting, held last week, followed the close of submissions to the draft determination. 23 submissions have been received to date.
While submissions were generally supportive of the draft rule, stakeholders raised some practical concerns with the proposed revisions to out-of-market provisions. The proposed changes were aimed at encouraging a lower-cost competitive market response by only letting providers enter into contracts for emergency reserves if they have not been in the market for the past 12 months.
The technical working group met to discuss the proposed out-of-market provisions, including options to improve the flexibility of the provisions. The group also worked through technical scenarios to help address challenges in implementing the proposed provisions.
This rule change request is being progressed as part of the Commission’s broader system security and reliability work program.
A final determination is due to be published on 2 May 2019.
Media: Prudence Anderson, Communication Director, 0404 821 935 or (02) 8296 7817