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Annual Report 2018-2019 Essential Services Commission of South Australia



Annual Report 2018-2019 Essential Services Commission of South Australia

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Tabled paper 1481


Tabled Papers for 13th Assembly 2016 - 2020; Tabled Papers; ParliamentNT






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ESCOSA Annual Report 201819 16 Electricity generation, distribution and retail licence variation Cowell Electric Supply Pty Ltd Electricity distribution and retail exemption IBA Wilpena Solar Pty Ltd Gas distribution licence Enwave Tonsley Pty Ltd Gas retail licence variation Elgas Limited The Commission also received notification of one surrender of a licence from AGL South Australia Pty Ltd. Energy licensing activities have increased over the past few years, particularly in respect of applications for small-scale generation plants (under 5MW), the majority of which are solar photovoltaic arrays. A list of all licences and exemptions can be found on the electricity licence register and gas licence register on the Commissions website. Licensing arrangements for generators in South Australia In June 2019, the Commission commenced a review into what implications changes to the technical standards in the National Electricity Rules may have for some of the Commission 2017 model licence conditions for new generators. In particular, whether some of the Commissions conditions might be redundant. The Australian Energy Market Operator provided the Commission updated advice on which of the technical licence conditions for new generators could be retained or removed. This review will be completed in 2019-20. Energy codes and guidelines The Commission has seven industry codes that apply to the electricity and/or gas industries (see below). Compliance with relevant codes is a mandatory condition of energy licences issued by the Commission. Electricity Distribution Code Electricity Transmission Code Electricity Metering Code Gas Distribution Code Gas Metering Code Reticulated LPG Industry Code Prepayment Meter System Code Industry codes prescribe rules of conduct and procedures that energy licensees must follow. Industry codes can cover a wide range of areas within a regulated industry, from consumer protection to technical matters. Guidelines support these codes and generally relate to the manner in which licensees must report to the Commission. The Commission has a jurisdictional role in determining reliability standards for energy network businesses operating in the National Electricity Market. These performance standards are specified in the industry codes. Electricity Transmission Code variation In March 2019, the Commission varied the Electricity Transmission Code to include a new transmission network exit point at Mount Gunson South, to supply the OzMinerals Carrapateena Mine. The variation amended the Code to apply a Category 1 reliability standard to the exit point. Category 1 is the lowest reliability standard provided for in the Electricity Transmission Code, and is consistent with that applying to other singlecustomer transmission exit points. SA Power Networks 2020 reliability standards review The Commission commenced a review of SA Power Networks 2020 reliability standards during 2017-18 which continued in 2018-19. The Commission reviews the jurisdictional service standards that apply to SA Power Networks every five years, prior to the commencement of a new price regulation period. The outcome of the review will be the establishment of new reliability standards for SA Power Networks for the 20202025 period. Draft standards were released in August 2018. The final standards were developed by considering the wide ranging views of stakeholders, including feedback collected through a customer survey on http://www.escosa.sa.gov.au/industry/electricity/licensing/licence-register http://www.escosa.sa.gov.au/industry/gas/licensing/licence-register http://www.escosa.sa.gov.au/industry/gas/licensing/licence-register https://www.escosa.sa.gov.au/ArticleDocuments/1198/20180116-Electricity-DistributionCode-EDC-12.1.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/11367/20190321-Electricity-TransmissionCode-V9.2.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/11367/20190321-Electricity-TransmissionCode-V9.2.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/613/130131-ElectricityMeteringCode-EMTC08.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/580/130905-GasDistributionCode-GDC06.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/580/130905-GasDistributionCode-GDC06.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/619/130131-GasMeteringCode-GMC04.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/552/130404-ReticulatedLPGIndustryCode_RLIC-01.pdf.aspx?Embed=Y https://www.escosa.sa.gov.au/ArticleDocuments/805/050518-PrepaymentMeterSystemCode.pdf.aspx?Embed=Y