Territory Stories

Annual power system review : December 2007



Annual power system review : December 2007


Power system review; Reports; PublicationNT




Cover title.; Made available via the Publications (Legal Deposit) Act 2004 (NT).




Electric utilities -- Northern Territory -- Periodicals; Power resources -- Northern Territory -- Periodicals

Publisher name

Northern Territory. Utilities Commission

Place of publication


Copyright owner

Northern Territory. Utilities Commission

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Page content

2007 Power System Review Page 3 Utilities Commission December 2007 CHAPTER 2 SUMMARY OF KEY FINDINGS 2.1 The 2007 Power System Review focuses principally on the adequacy of generation capacity and gas supplies over the medium term to 2010-11, and the longer term to 2016-17. Power system planning and reliability 2.2 In its 2005 Review, the Commission included an assessment of the arrangements under which power system planning and reliability is addressed in the Northern Territory. 2.3 The Commission found that arrangements in the Territory are distinctive in that: the responsibilities, accountabilities and powers of the main participants the System Controller, Power and Water Generation and Power and Water Networks and the Commission itself are largely undefined; and there is limited recognition regarding the desirability of separating public interest responsibilities from commercial interests. 2.4 This is inconsistent with generally accepted industry practice. Among a number of disadvantages, it blurs the distinction between commercial interests and the public interest, makes the planning and investment process opaque and increases the risk that investment decisions may be sub-optimal from a power system perspective. 2.5 The Commission considers that these findings remain relevant, and that corrective action is required. Its views have been submitted to the NT Government. The Commission understands these matters are under review, as part of the Governments ongoing consideration of the merits of joining the national regulatory regime. 2.6 In the meantime, the Commission has maintained the approach taken in the 2005 Review and reported against both the N-1 and N-2 standard1, in the absence of formal reliability criteria for the NT system made explicit on the advice of an appropriately constituted expert advisory body. 2.7 The Commission notes that the Power and Water Corporation has recently adopted the N-2 generation planning standard, as part of an increased focus on power system planning and reliability issues. This has resulted in the timeframes for additions to generation capacity being brought forward in certain instances. 1 The N-1 generation planning standard provides an indication as to whether the generation capacity in a particular system is adequate to meet forecast peak demand with the largest generation unit out of service. The N-2 standard indicates whether generation capacity is adequate to meet forecast peak demand with the two largest generation units out of service.

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