BACKGROUND AND PROGRESS TO DATE
Network Support and Control Services (NSCS) are services that are critical to maintaining the secure and reliable operation of the power system. They provide the capability to control the active or reactive power flow into or out of a transmission network in order to maintain that transmission network in a secure operating state and maintain or increase its power transfer capability.
AEMO has completed its review of Network Support and Control Services in the NEM (the NSCS Review).
This review was required under clause 3.1.4(a1)(4) of the National Electricity Rules and in accordance with the Rules consultation requirements detailed in clause 8.9 of the Rules.
NEMMCO released a "NSCS Review – Issues and Options Discussion Paper" (Discussion Paper) on Tuesday 29 July 2008 for First Stage of Rules consultation. Submissions closed on Tuesday 9 September 2008 and five submissions were received with no requested meetings.
NEMMCO considered these submissions and released the “NSCS Review – Draft Determination Report” (Draft Determination) on Tuesday 25 November 2008 for Second Stage of Rules consultation. Submissions closed on Monday 16 February 2009 and five submissions were received with no requested meetings.
On Friday 20 March 2009, and again on Monday 27 April 2009, NEMMCO announced delays to the release of its Final Determination. On Friday 15 May 2009 decided to postpone the NSCS Review until after NEMMCO’s transition to AEMO on 01 July 2009, to allow consideration by the new organisation of the issues raised with the NSCS arrangements proposed in the Draft Determination in the context of its new national transmission planning role.
AEMO resumed the NSCS Review in August 2009, and released the “NSCS Review - Revised Draft Determination Report” (Revised Draft Determination) on Monday 12 October 2009 which proposed to retain AEMO’s current NSCS planning and procurement role with the following improvements:
- Integration of AEMO’s NSCS planning and procurement into the annual national transmission planning process;
- A greater forecasting horizon for the identification of NSCS requirements through the National Transmission Network Development Plan (NTNDP), and with the assessment of NSCS proposals aligned with the Regulatory Investment Test for Transmission principles (RIT-T);
- Removal of limitations on the parties who can provide NSCS;
- Greater flexibility in NSCS contracting duration and lead-times; and
- Beneficiaries-based recovery of NSCS costs by AEMO, most likely on a regional basis, where practicable.
AEMO also held a public forum in AEMO’s Melbourne office on Tuesday 20 October 2009 to discuss the NSCS arrangements proposed in the Revised Draft Determination.
As this revised approach was a substantive departure from the Draft Determination, AEMO conducted a further round of consultation. Submissions closed on Friday 6 November 2009 and five submissions were received with no requested meetings.
COMPLETION OF THE REVIEW
AEMO considered the submissions to the Revised Draft Determination and released the “NSCS Review – Final Determination Report” (Final Determination) on Friday 18 December 2009.
The next step will be for AEMO to submit associated Rule changes to AEMC within three months of the release of the Final Determination.
Review of Network Support & Control Services – Final Determination Report |
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Any enquiries regarding this NSCS Review can be directed to Ross Gillett on either (02) 9239 9114 or 0418 245 961 (mobile) or via email: ross.gillett@aemo.com.au
TIMELINE FOR THE REVIEW CONSULTATION PROCESS
The following Table outlines key milestones in the NSCS Review consultation process.
| Process | Date |
Release Draft Scoping Paper and invite submissions on scope of NSCS Review |
7 March 2008 |
Closing date for submissions on NSCS Review scope |
4 April 2008 |
Release Final Scoping Paper and finalise NSCS Review scope |
2 June 2008 |
First Stage Rules Consultation |
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Formal Commencement of NSCS Review – must complete within 12 months |
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Closing date for submissions on NSCS Issues & Options paper |
9 September 2008 |
Second Stage Rules Consultation |
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Closing date for submissions on Draft Determination Report |
16 February 2009 |
Third Stage Rules Consultation on Draft Determination Release Revised Draft Determination Report |
12 October 2009 |
| Public Forum (Melbourne) | 20 October 2009 |
Closing date for submissions on Revised Draft Determination Report |
6 November 2009 |
Release Final Determination Report |
18 December 2009 |
Submit proposed Rules to AEMC, to give effect to recommendations in the Final Determination Report |
Within 3 months of Final Determination |
| Presentation Slides from Public Forum on NSCS Review - Revised Draft Determination Report 03 Nov 2009 | filename: 0167-0001.pdf |
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| Notice of Third Stage of Consultation on NSCS Review 12 Oct 2009 | filename: 0168-0005.pdf |
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| Review of Network Support & Control Services - Revised Draft Determination Report 12 Oct 2009 | filename: 0168-0006.pdf |
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Submissions to revised draft determination:
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| Notice of Second Stage Consultation on NSCS Review - Updated 29 Dec 2008 | filename: 168-0104.pdf |
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| Review of Network Support & Control Services - Draft Determination Report 12 Jan 2009 | filename: 168-0105.pdf |
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Submissions to draft determination:
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| Notice of First Stage Consultation on NSCS Review 29 Jul 2008 | filename: 168-0098.pdf |
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| Attachment A : NSCS Review - Issues and Options Discussion Paper 29 Jul 2008 | filename: 168-0099.pdf |
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Submissions to Issues & Options Discussion Paper:
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| Review of Network Support & Control Services : Final Scoping Paper 03 Jun 2008 | filename: 168-0097.pdf |
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Submissions to Draft Scoping Paper:
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Late Submission to Draft Scoping Paper
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| Review of Network Support & Control Services : Draft Scoping Paper 07 Mar 2008 | filename: 168-0089.pdf |
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