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Models and power system studies

The Australian Energy Market Commission (AEMC or Commission) has made a final rule that clarifies the scope and level of detail of model data that registered participants are required to submit to the Australian Energy Market Operator (AEMO) and network service providers.

The Commission considers that increased clarity regarding the arrangements for model data provision will support more efficient operation of and investment in the national electricity market, particularly as this relates to maintaining the security of the power system. Models are mathematical representations of how particular equipment, such as a generating unit or network equipment, will function under different conditions. They are used as inputs to broader modelling studies of the power system (known as power system studies), which allow parties to examine how the power system will function under a range of different conditions. These power system studies are used by generators, AEMO and network service providers to inform a number of processes, including the development of constraint equations, the planning of networks, the development of generator performance standards, the assessment of settings of control systems and protection systems of plant and networks, and meeting minimum fault level requirements.

Various changes in power system conditions are making it more difficult to undertake accurate power system studies, particularly the decrease in system strength occurring in many parts of the grid. In order for power system studies to remain accurate and effective, it is becoming increasingly important that the model data used as inputs to these studies is sufficiently detailed to accurately reflect the performance of generating units and other equipment under these changed power system conditions.

This final rule is therefore designed to provide various parties with access to the model data that is needed to support effective power system studies in a changing power system environment.

The final rule expands the existing NER framework for model data provision The final rule amends the existing framework in the national electricity rules (NER) to clarify, as well as increase the range of circumstances in which parties must provide model data to AEMO and network service providers.

The final rule requires AEMO to set out, in its power system model guidelines, what model data will be required to be provided by participants and the specific circumstances or conditions under which that model data will be required.

The final rule also sets out principles that AEMO must have regard to when it develops the guidelines and data sheets. These are:

 a requirement for AEMO to consider the costs faced by participants in providing model data, ii Generating System Model Guidelines  the protection of confidential model information, and  the range of modelling information needed by network service providers to fulfil their obligations under the NER or jurisdictional electricity legislation.

In making the final rule, the Commission recognises that while the provision of model data to AEMO and network service providers is likely to provide overall benefits to the market, participants will face costs in meeting obligations to provide model data. The Commission considers that these costs can be best managed where there is predictability and clarity regarding the nature of these obligations. The Commission considers this will help to reduce uncertainty with respect to regulatory obligations, by allowing participants to effectively plan and account for these costs in their commercial decision making processes.

SOURCE: RULE DETERMINATION National Electricity Amendment (Generating System Model Guidelines) Rule 2017 Rule Proponent Australian Energy Market Operator 19 September 2017

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