AEPC_2020_05

Procedure Change Proposal

Wholesale Electricity Market Rules – Clause 2.10

Date of Notice: 18 May 2020

This notice informs all Rule Participants and interested parties (Consulted Persons) that AEMO has published a Procedure Change Proposal concerning revisions to the Market Procedure: Reserve Capacity Security (Procedure) and is conducting a consultation process on this proposal.

This consultation is being conducted in accordance with the Procedure Change Process detailed in clause 2.10 of the Wholesale Electricity Market Rules (WEM Rules).

Matter under Consultation

The matters under consultation are proposed amendments to the Market Procedure: Reserve Capacity Security developed under clauses 4.13.8 and 4.13A.23 of the WEM Rules.

The Minister for Energy amended the WEM Rules on 11 February 2020 to implement changes to the Reserve Capacity Price from the 2019 Reserve Capacity Cycle (RCM Pricing Amendments). Further information about the changes can be found on Energy Policy WA’s website.

The RCM Pricing Amendments introduced a requirement for Demand Side Programmes (DSP) to provide DSM Reserve Capacity Security each year. In accordance with clause 1.29.2 of the WEM Rules, DSM Reserve Capacity Security provisions must be documented in a Market Procedure by 1 July 2020.

This Procedure Change Proposal includes:

• Amendments required to document DSM Reserve Capacity Security.
• Changes to reflect the Reserve Capacity Security Guideline, which was introduced to clarify the current version of the Market Procedure following requests from Market Participants. This guideline will be replaced by the amended Market Procedure.

Further details are provided in the Procedure Change Proposal published with this notice. The proposed revised Market Procedure is published with this notice and the Procedure Change Proposal. 

The Consultation Process

The consultation process is outlined below. Dates in italics are indicative only and subject to change.

Invitation to Make Submissions

AEMO invites written submissions on this Procedure Change Proposal, including any alternative or additional proposals you consider may improve the procedure/s or better meet the Wholesale Market Objectives in section 122(2) of the Electricity Industry Act 2004 (and clause 1.2.1 of the WEM Rules).

Please identify any parts of your submission that you wish to remain confidential, and explain why. AEMO may still publish that information if it does not consider it to be confidential, but will consult with you before doing so. 

Meetings

In your submission, you may request a meeting with AEMO to discuss the Procedure Change Proposal, stating why you consider a meeting is necessary or desirable. 

If appropriate, meetings may be held jointly with other Consulted Persons. Subject to confidentiality restrictions, AEMO will generally make details of matters discussed at a meeting available to other Consulted Persons, and may publish them. 

Closing Date and Time

Submissions in response to this Procedure Change Proposal should be sent by email to wa@aemo.com.au, to reach AEMO by 5.00 pm (AWST) on 16 June 2020. 

All submissions must be forwarded in electronic format (both pdf and Word). Further, all emails relating to this Procedure Change Proposal must be entitled “AEPC_2020_05: Reserve Capacity Security Market Procedure - [Name of the submitting company or individual]”. Submissions should use the Procedure Change Submission form available at:

http://aemo.com.au/Electricity/Wholesale-Electricity-Market-WEM/Procedures/Procedure-changes.

AEMO is not obliged to consider submissions received after the closing date and time. Any late submissions should explain the reason for delay and the detriment to you if AEMO does not consider your submission.

Publication

All submissions will be published on AEMO’s website. Confidential information will not be published, other than as specified above.