The AEMC has released a draft rule providing the power system operator with the ability to better manage the impact of abnormal conditions like cyclones . 

Today’s draft determination provides reassurance that the Australian Energy Market Operator (AEMO) has the authority to act to prepare for the risk of events on the power system caused by abnormal conditions where the impact is hard to predict or identify. 

These ‘abnormal conditions’ can include widespread fires, major storms and cyberattacks. As storms and bushfires become more frequent and intense and technology evolves, such conditions are a growing threat to secure power supplies.

Under the draft rule, AEMO can manage the risk of indistinct events in similar ways to its advance preparation for the risk of other events considered ‘reasonably possible’ to happen.

This would allow AEMO to take extra actions, such as procuring additional ancillary services, to keep the system stable. 

At the same time, the draft rule provides for appropriate transparency and governance measures to safeguard the long-term interest of consumers. 

The draft is the third and final rule change flowing from the AEMC’s 2019 review of the black system event in South Australia. 

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