Type
Sector
Electricity
Segment
Distribution
Issue date
AER reference
AC 30/23

The Australian Energy Regulator (AER) today released its final Connection charge guideline (the Guideline) for electricity customers and accompanying explanatory note in light of changes made to the National Electricity Rules (the Rules).

The updated Guideline describes the circumstances (or how to determine the circumstances) under which a Distribution Network Service Provider (DNSP) may impose a static zero export limit to a micro embedded generator seeking to connect to the network.

Following consultation on the draft Guideline released in October 2022, the AER has determined that such limits should only be applied in exceptional circumstances.

The conditions regulating how a DNSP may impose a static zero export limit on new rooftop solar remains substantially unchanged from the draft version for consultation, with the following additions:

  • A condition outlining how a DNSP should communicate with rooftop solar connection applicants when a zero export limit is imposed.
  • Customer protection provisions for those rare cases where static zero export limits are imposed.

These additions are in response to stakeholder feedback and are intended to strengthen customer safeguards.

Background

On 12 August 2021, the AEMC published its Access, pricing and incentive arrangements for distributed energy resources final determination (rule change). The determination changes the Rules with the aim of getting more small-scale solar into the grid, while supporting growth of batteries and electric vehicles.

As a result, the AER reviewed its Connection charge guideline for electricity retail customers as required by the rule change. The key issue addressed in this review was to determine the limited circumstances when DNSPs may impose a static zero export limit on new micro embedded generators.