Power System Control and Ancillary Changes

The Power System Controller is the entity licensed by the Commission to manage the day-to-day operation of the power system.

While the Commission is responsible for the economic regulation of the Northern Territory electricity market, the function of monitoring and controlling the power system lays with the Power System Controller.

Section 38 of the Electricity Reform Act 2000 sets out the powers and functions of the system controller. Customer contestability and bilateral contracting require the Power System Controller to:

• monitor the output of third-party generators and the demand of those generators’ customers at half-hourly intervals or less; and

• call up agreed standby generation (‘standby power’) as required.

The Power System Controller is entitled to impose and recover charges relating to the operations of system control. The schedule of charges to be applied is approved by the Utilities Commission.

At the commencement of the current regulatory regime on 1 April 2000, determinations and approvals for the interim period 1 April to 30 June 2000 were made for the Darwin and Katherine networks only. From 1 July 2000, the Commission expanded coverage to include the Alice Springs and Tennant Creek networks. Due to an administrative oversight, the approval instrument for system control charges was not amended to reflect this expanded coverage. An amended approval instrument for system control charges has been published to correct this error.

• System Control Charges - from 1 July 2004 (corrected)

• System Control Charges - from 1 July 2004

• System Control Charges - 1 July 2003 - 30 June 2004

• System Control Charges - 1 July 2002 - 30 June 2003

• System Control Charges - 1 July 2001 to 30 June 2002

• System Control Charges – 1 July 2000 to 30 June 2001

• System Control Charges – 1 April 2000 to 30 June 2000

Pricing of Ancillary Services

Regulation 3 of the Utilities Commission Regulations grants the Commission authority to determine prices relating to the provision of ancillary services in the electricity supply industry.

In October 2003, the Commission began preparatory work to review the ancillary services arrangements and the role of system control in the Territory’s electricity supply industry. Power and Water, as the holder of the system control licence in the regulated power systems, provided an “ancillary services arrangement” for the Commission’s consideration and approval in November 2004. 

Further development for the pricing for ancillary services has been deferred until the prospect of generation competition re-emerges in the Territory.