18 September 2018

Welcome to Market Brief, the Electricity Authority’s weekly update on regulatory and market developments.

Contents

Decision paper published: Review of normal frequency management project

We have published a decision paper on the Normal frequency management project. Our decision is to develop new arrangements to replace the current performance obligations for generating unit governor response. Subject to costs and practicality, we plan to replace the performance obligations with a capability market for governor response (and other future non-generator forms of control response).  

However, we have decided to pause further work on developing the new arrangements in this financial year. This will allow time for us to progress a number of related projects first. The related projects are expected to improve participation from technologies other than synchronous generator governors in the wholesale and retail markets. This will potentially improve the level of participation in the new capability market. 

The decision paper and our summary of the submissions on the information paper Normal frequency management –strategic review are available on our website.

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Refreshed Electricity in New Zealand now available

We have recently updated our Electricity in New Zealand publication, our authoritative and comprehensive guide to the electricity sector in New Zealand. 

Electricity in New Zealand tells the story of the electricity industry in a simple and engaging way. Schools, new entrants to the electricity sector, customer service staff, and consumers find this resource very valuable to improve their understanding of key concepts in the electricity industry. It explains what distribution, transmission, and generation companies do, and the marketplaces where electricity is traded. 

Our 2018/19 Statement of Performance Expectations outlines our commitment to improve consumer participation by improving consumers’ access to markets and to make it easier for consumers to make choices. Electricity in New Zealand, along with the animations we are producing, is a key part of our commitment to helping consumers understand the sector.

The updated publication is available to download from our website. Hard copies will be available in the coming weeks. If you would like to request a hard copy please email us at communications@ea.govt.nz, specifying your postal address and the number of copies required.

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Reminder: Participant registration and information update

We remind participants that it is their responsibility to register with the Authority as a participant, and ensure the information they provide for registration is up to date. Please check that all information is up to date including contact names and details that may have changed.  All changes and updates to the participants register may be directed to compliance@ea.govt.nz 

Failure to register or to update information is an offence under section 31 of the Electricity Industry Act 2010.

The participant register is available on our website.

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Reminder: Call for nominations for Market Development Advisory Group chair

We are calling for nominations for an independent chair of the Market Development Advisory Group (MDAG). 

We aim to appoint a new MDAG chair in November 2018 for a term ending in May 2020.

More details, including the nomination form, the charter, and the terms of reference for the advisory group, are available on our website.

Nominations close at 5pm on Tuesday, 18 September 2018.

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Reminder: Market enhancement omnibus forum

We are holding a forum to discuss the consultation papers released as the first market enhancement omnibus. We are consulting on four areas.

1.    Review of metering and related registry processes.
2.    Access to WITS and the registry.
3.    Switch process review.
4.    Integrating hosting capacity into Part 6 of the Code.

We will also discuss developments with the electricity information exchange protocols (EIEPs).

The forum will be held in Wellington on Tuesday, 9 October 2018. To register for the forum, please email your name and contact details to conference@ea.govt.nz by COB Thursday, 20 September 2018 with ‘Market enhancement omnibus forum’ in the subject line.

Please note, total attendance numbers are limited and may also be limited by organisation. We suggest you do not book flights and accommodation until you have received confirmation of attendance.

The proposed agenda and more information on the omnibus is available on our website.

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Reminder: Industry workshop on Dispatch Service Enhancements

Transpower is holding an industry workshop for the Dispatch Service Enhancements project.

The Dispatch Service Enhancements project will introduce alternate communications protocols (ICCP and web services) for dispatch. From mid-2019, these new communication protocols will remove the requirement for participants to use the current proprietary GENCO system to receive and acknowledge dispatch instructions.

This workshop will allow the project team to provide a progress update and share the detailed design for these enhancements. The project team will also describe the operation of these new communications protocols and the process for transitioning to them. This workshop is intended to provide you with an understanding of the impact of these changes on your organisation. 

The workshop will be hosted on Friday, 30 November 2018, from 1 to 4pm at the Transpower offices in Wellington and via Skype. Please register your interest before Tuesday, 30 October 2018 to the Project Manager at Marije.Postma@transpower.co.nz   

For further information on the project, please visit the Transpower website.

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Current consultations

Market enhancement omnibus one: September 2018

We are coordinating the consultation processes for more minor projects into an omnibus series. In our first omnibus, we are consulting on four areas.

1.    Review of metering and related registry processes.
2.    Access to WITS and the registry.
3.    Switch process review.
4.    Integrating hosting capacity into Part 6 of the Code.

Started: 04/09/2018; Ending: 13/11/2018 5pm

Two draft lists of distributed generation eligible to qualify to receive ACOT: upper North Island and upper South Island

We are seeking views on two draft lists of distributed generation that would be eligible to qualify under the regulated terms in Part 6 of the Code to receive ACOT payments from distributors.

Started: 28/08/2018; Ending: 09/10/2018 5pm

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