List of distributed generation eligible for ACOT in the lower South Island
The Authority has published the list of distributed generation in the lower South Island that is eligible to qualify for avoided cost of transmission (ACOT) payments under the regulated terms.
We have also published a decision paper and response to the nine submissions received during our consultation on the draft list. As the submissions are short, we have not created a separate summary.
The new ACOT arrangements will ultimately lower prices for consumers by reducing ACOT payments that do not deliver reliability benefits to consumers.
We have published submissions received on our November 2017 Multiple trading relationships consultation paper. This project is part of a comprehensive programme aimed at identifying and reducing barriers to developing and using evolving technologies and business models across the electricity supply chain. Reducing these barriers will enable more parties to participate in electricity industry markets.
The first consultation paper focused on the potential barriers consumers may face in using electricity or electricity services provided by more than one party at the same time, at the same location (multiple trading relationships). We asked for views on the size of the potential barriers and whether reducing them might create a net long-term benefit to consumers by improving competition in, reliable supply by, and the efficient operation of, the electricity industry.
The consultation closed on 28 February 2018. We are now considering the 28 submissions received and our next steps.
Decision paper published: Review of instantaneous reserve markets project
We have published a decision paper on the Review of instantaneous reserve markets project. This sets out our decision to close the project without pursuing any changes to the instantaneous reserve markets. Based on the work completed to date, it is unlikely the project will deliver long-term net benefits to consumers. Our decision reflects a reduced expectation and increased uncertainty about the benefits since we initiated the project, and a greater expectation of higher costs.
We recognise the settings for instantaneous reserve may change in the medium-term, particularly in the context of the rising level of renewables and the falling cost of emerging technologies. We will monitor the performance of the instantaneous reserve markets and reactivate the work if change is required. This may be in the form of a review with a similar scope, or as a broader review of under-frequency management.
We have published the papers from the Market Development Advisory Group (MDAG) meeting held on 15 March 2018.
As part of considering the preliminary problem definitions for both projects it is undertaking, Saves and win-backs and the Review of spot market trading conduct provisions, the MDAG heard from various guest speakers. The MDAG also welcomed Murray Henderson’s attendance as an ongoing observer from the system operator.
We will publish the minutes once the MDAG has confirmed them.
Following the resignation of George Block, the Authority is calling for nominations for a member of the Innovation and Participation Advisory Group (IPAG).
In addition to the skills and experience generally required of IPAG members, the Authority is particularly interested in nominations from people with experience in representing household consumer perspectives.
The Authority is aiming to appoint a new member to the IPAG in June 2018, for a term ending in September 2019.
More details, including the nomination form, charter and terms of reference, are available on our website.
Review of two aspects of the customer compensation scheme
We’re consulting on our review of two aspects of the customer compensation scheme (CCS). The aspects are: addressing possible inefficiencies in how the CCS handles customer switching during conservation campaigns; and whether the minimum weekly amount of the default compensation scheme should be calculated annually.
