The AEMC is reviewing the interventions framework in light of the growing number of directions being issued by AEMO to maintain system strength. This investigation is also considering the experience to date with the current framework for managing system strength, and whether any refinements are warranted to that framework to support system security in the most efficient manner possible.
Consultation paper
On 4 April 2019 the AEMC published a consultation paper which actions the recommendation set out in the Reliability Frameworks Review. It also commences consultation on two rule change requests submitted by AEMO which seek to amend the interventions framework and compensation framework in relation to:
- the threshold which limits the amount of compensation payable to directed and affected participants after an intervention
- whether the ‘regional reference node’ test should apply to the RERT. This test is used by AEMO to determine when intervention pricing should apply.
These rule change requests are being progressed as part of this wider investigation as they raise fundamental questions about the interventions framework.
Finally, the paper considers the current framework for managing system strength, and considers whether any refinements are warranted to that framework to support system security in the most efficient manner possible.
More information
More information on the AEMC’s Investigation into intervention mechanisms and system strength in the NEM.