Electricity generation licence conditions Inquiry – interim AEMO advice - Archived

14 Mar 2017

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The Commission is conducting an Inquiry into the additional technical licence conditions that it has applied to wind and other inverter-connected generation plant in South Australia since 2004. The Inquiry is looking to determine whether or not the conditions continue to be required and, if so, what form they should take given the power system, technological and market changes which have occurred since the conditions were last reviewed by the Commission in 2010.

The licence conditions apply in the absence of national rules which effectively integrate new generation technologies and are intended as a transitional arrangement until such time as national or other rules come into effect.
The Australian Energy Market Operator (AEMO) is providing technical advice to the Commission as a part of the Inquiry. AEMO’s draft advice is expected to be published in April; however, to provide direction to stakeholders, AEMO has prepared interim advice on generator licence conditions for new generation.
 
AEMO’s interim advice is that the high proportion of non-synchronous intermittent generation in South Australia justifies having additional or tighter technical standards than those that currently apply under the National Electricity Rules. AEMO therefore recommends that, effective immediately, all new generation licences be subject to additional conditions, in order to give regard to the technical changes affecting the South Australian power system.

These conditions are additional to the Commission’s existing set of licence conditions for new generators, and include frequency control capabilities; ramp rate controls; voltage and frequency disturbance ride-through capabilities; and other capabilities.

The Commission has considered the interim advice and will require these additional technical conditions for any new generation licence application (for any form of generation) until such time as AEMO’s final advice is received and the Inquiry is completed.
 
Potential new generation licence applicants are asked to contact the Commission to discuss licensing requirements and processes.

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