GridX Power Pty Ltd: Application for NSP exemption - issues paper

The Australian Energy Regulator (AER) has recently received an application from GridX Power Pty Ltd, seeking an exemption from the requirement to register as a Network Service Provider (NSP) under the National Electricity Law (NEL) and National Electricity Rules (NER).
GridX proposes an innovative method of delivering electricity to residential consumers. GridX plans to construct electricity networks on new estates delivering electricity via gas-fired micro-generators buried within those estates. These generators would be fed by domestic gas reticulation connections. GridX proposes to export excess energy generated within each embedded network to the National Electricity Market (NEM) but proposes that, as their generation system is self-contained within relevant estates, that their network be configured so that the import of electricity from the NEM into the national grid is not possible.

This Issue Paper provides an overview of the issues that the AER considers are relevant to the consideration of GridX’s application, and seeks feedback on whether (and if so, on what conditions) GridX should be granted an in-principle exemption from the requirement to register and provide existing retailers with access to its network(s).

The closing date for submissions was Friday 14 July 2006.