Amendments to the Inertia Requirements Methodology

05/07/2024
Market National Electricity Market
StageDraft Report
ConvenorAEMO NEM
Initiated25/09/2024
Accepting submissions?Yes
Submissions close23/10/2024

Timeline

  • Consultation paper published
    5 July 2024
  • Submissions due on consultation paper
    2 August 2024
  • Draft report published, including a draft Inertia Requirements Methodology
    25 September 2024
  • Submissions due on draft report
    23 October 2024
  • Final report published, including a draft Inertia Requirements Methodology
    Expected 13 November 2024

Matter under consultation

In March 2024, the Australian Energy Market Commission (AEMC) released its final determination on Improving security frameworks for the energy transition rule change. This introduced new requirements for the Inertia Requirements Methodology. 

AEMO has now commenced the second stage of consultation on amendments to the Inertia Requirements Methodology in accordance with clause 5.20.4 and the Rules consultation procedures in rule 8.9 of the National Electricity Rules (NER).   

Submissions are due to 2024_security_consultations@aemo.com.au by 5pm AEDT 23 October 2024. Please note that submissions will be published, other than confidential material, as per
AEMO’s Consultation submission guidelines.

 

Key changes

AEMO received five submissions in response to its issues paper, with a range of views on the proposal. AEMO thanks stakeholders for their submissions and appreciates the thoughtful contributions on these complex matters.

After considering first stage submissions, AEMO has issued a draft Methodology for further consultation. The draft Methodology reflects AEMO’s draft determination as follows:

  • NER requirement: system-wide inertia level and inertia sub-network allocation – AEMO will base the sub-network allocation on the individual inertia sub-network requirements and will vary the total amount of inertia in its power system simulation studies to determine the system wide level of inertia
  • NER requirement: process for determining sub-network islanding risk – AEMO will consider the list of factors in the new NER clause 5.20B.2(d) when forecasting and determining the likelihood of sub-network islanding, and factors relating to evidence from historical islanding events.
  • NER requirement: inertia network services specification – AEMO has included the inertia network service specification as part of the draft Methodology, drawing from its voluntary standard and test specification for grid-forming inverters published under the Engineering Framework to inform the specification for synthetic inertia providers.
  • Methodology improvement: additional modelling considerations – AEMO will update the Methodology to explicitly model expected changes in supply, demand, and network assumptions over the 10-year horizon.

AEMO’s draft proposal is to amend the Methodology in the form published with this draft report, with a proposed effective date of 1 December 2024. The 2024 Inertia Report will follow the amended methodology.

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