COAG Decision Regulation Impact Statement – Australian Energy Market Commission
On 19 November 2020, the Australian Energy Market Commission (AEMC) released the final rule determination and rule titled National Electricity Amendment (Transparency of Unserved Energy Calculation) Rule 2020.
The final rule was issued through an expedited process that did not involve preparation of a draft determination and draft rule for consultation, rather, the AEMC determined the change was non-controversial and released a discussion paper to canvass public views.
The final rule makes amendments to the National Electricity Rules to include a purpose statement for the definition of unserved energy, to assist stakeholders and AEMO with the definition’s interpretation. In addition the rule makes changes to:
- require the Australian Energy Market Operator (AEMO) to set out, through the reliability standard implementation guideline (RSIG), the method for calculating unserved energy in accordance with clause 3.9.3C, including how the amount of energy demanded in the relevant region is determined;
- make it clearer that the intent of the clauses is to include unserved energy that results from power system reliability incidents, and exclude unserved energy that results from power system security incidents; and
- clarify that multiple ‘contingency events’ are in fact multiple ‘credible contingency events’, and clarifying that ‘non-credible contingency events’ include both single and multiple non-credible contingency events.
The AEMC has stated it is satisfied that the final rule will, or is likely to, contribute to the achievement of the national electricity objective.
The National Electricity Amendment (Transparency of Unserved Energy Calculation) Rule 2020 has been assessed by the Office of Best Practice Regulation as compliant with requirements for a Council of Australian Governments Decision RIS.
Please note: any accessibility queries should be directed to the Australian Energy Market Commission