Annual Report 2014/2015 Utilities Commission
Tabled paper 1571
Tabled Papers for 12th Assembly 2012 - 2016; Tabled Papers; ParliamentNT
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28 As at 30 June 2015, the following EPOs were in effect: for customers prescribed by regulation 13A(d) of the Electricity Reform Administration Regulations (that is, using up to 750 MWh per annum), regulating the maximum price that can be charged to relevant customers for the period 1 January 2015 to 31 December 2015; and for customers prescribed by regulation 13A (a) to (c) Electricity Reform Administration Regulations (that is, using between 750 MWh and 2 GWh per annum Tranche 4) setting a price path for increases to cost-reflective electricity prices to relevant customers for the period 1 January 2015 to 31 December 2015. In July 2015, the Government revoked the EPO for customers using between 750 MWh and 2 GWh per annum to the extent that it applies to customers of those classes in the Darwin-Katherine region with effect on and from 1 August 2015. The EPO from 1 January 2015 to 31 December 2015 will continue to apply to customers outside of the Darwin-Katherine Region as defined in Schedule 2 to the National Electricity (Northern Territory) (National Uniform Legislation) Act. Technical Regulation The Commission has various technical regulatory functions it undertakes in the absence of a technical regulator in the Territory. Spinning Reserve Spinning reserve refers to generation capacity that is available for rapid despatch should a generator fail, to avoid collapse of the power system. Following a number of system black incidents and under frequency load shedding incidents resulting in a power system failure, and issues identified in the annual PSR, the Commission encouraged Power and Water to develop a comprehensive spinning reserve policy, consistent with good industry practice, for each of the Territory power systems. In mid-2013, Power and Water commenced a review of its spinning reserve requirements. The Commission understands this review was ongoing in 2014-15 and Power and Water has made significant progress in better understanding the operation of spinning reserve in the Territorys power systems. Network Technical Code and Network Planning Criteria In late 2012 and early 2013, the Commission provided preliminary comments and suggested improvements on draft Network Technical Code and Network Planning Criteria (NTC&PC) prepared by Power and Water Networks. Power and Water Networks had undertaken a substantial review of the previous NTC&PC and combined the two documents into a single document. Prior to 1 July 2015, clause 9(1) of the Network Access Code required Power and Water to comply with good electricity industry practice when providing network access services and in planning, operating, maintaining, developing and extending the electricity network. Clause 9(4) of the Network Access Code required Power and Water to consult with the Commission about the contents of the NTC&PC and amend where necessary if, in the Commissions opinion, it contains provisions inconsistent with the objectives of the Code.