Power of Choice

By Anne Wardell, Compliance Quarter

The Australian Energy Market Operator has released Package 3 changes to amend a number of procedures which had previously been amended or developed as part of the Power of Choice reforms.

Substantial Amendments – Package 3 – Power of Choice Reforms

Some of the amendments are minor but there are also more substantial changes which have been identified as follows:

  • Procedural issues that are seen as unnecessarily restrictive;
  • Alignment of procedures released in Package 1 with corresponding changes in procedures released in Package 2;
  • Removal of redundant legacy provisions in procedures; and
  • Issues regarding the requirement to specify when an existing metering installation that is to be replaced by an MC may be a ‘network device’[1].

These issues arose following publication of the procedures in Package 1 and 2.

The following procedures have been amended:

  • Glossary and Framework at 7.16.1(f)2
  • Meter Data File Format at 7.16.6
  • Metrology Procedure: Part A at 7.16.3
  • MSATS Procedures: CATS Procedure Principles and Obligations at 7.16.2
  • MSATS Procedures: Procedure for the Management of Wholesale, Interconnector, Generator and Sample (WIGS) NMIs at 7.16.2
  • Service Level Procedures for MDP at 7.16.6
  • Service Level Procedures for MP at 7.16.6
  • Qualification Procedure at S7.2.1(b), S7.3.1(c), S7.7.1(b).

The Final Report and Determination[2] also lists a number of issues which will be considered by the AEMO after 1 December 2017. These issues arose from suggestions made in the second stage consultation process. The matters which will be considered are:

  1. Arrangements for the retrospective reinstatement of the LNSP as initial MC, specifically whether the procedures should consider specific scenarios where this might occur and arrangements upon which parties may and may not object through MSATS retrospective CR processes;
  2. Providing greater definition with regard to the use of the RETRO objection code, considering the CRs on which it can be used;
  3. Rules that deal with various scenarios regarding role appointment, such as the treatment of a prospective appointment of a new MP by the current MC, where the MC role changes prior to the appointment of the new MP; and
  4. Removing the ability for the FRMP to appoint the MDP via a 6200/6210 CR as it appears out of step with the related 6700/6701 CR, and as the FRMP has the ability to appoint roles already via other CRs, as agreed with the MC[3].

Copies of the Final version of Procedures, both as a clean copy or a marked-up copy, are available on the AEMO website under Notice of Final Report and Determination. The marked-up copies are useful for identifying the changes but you should use the clean copy as your reference document after 1 December 2017.

[1] Power of Choice Procedure Changes (Package 3), Final Report and Determination, 1 September 2017 at p 6.

[2] Ibid

[3] Ibid at p 8

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