On 16 August 2007 the Commission published its Rule determination in accordance with section 102 of the National Electricity Law (NEL) which affirmed the Commission’s decision in its draft Rule determination to not make a Rule in relation to this Rule change proposal.

Background

Hydro Tasmania has proposed a Rule change that seeks to amend the rules relating to market dispatch. The function of the proposal is to amend the Rules to ensure that the dispatch of scheduled network services is on the basis of dispatch offers and dispatch bids. Hydro Tasmania requested that the Rule change be expedited on the grounds that it is non-controversial and urgent.

On 1 February 2007, the Commission published a notice under section 95 of the NEL commencing initial consultation on a Rule proposal for Dispatch of Scheduled Network Services.

The Commission decided not to expedite the Rule change proposal as it does not consider this matter to be either non-controversial or urgent.

The Commission's invitation to interested parties to provide submissions on the Rule proposal closed on 30 March 2007.

On 22 May 2007 the Commission decided to issue a notice under section 107 of the National Electricity Law (NEL) to extend the time for publishing its draft Rule determination on the proposed Dispatch of Scheduled Network Services Rule. The Commission has decided to extend the time for publishing the draft Rule determination as it considers that it is in the public interest for the Commission to sufficiently consider complex issues raised in a supplementary submission to the Rule change proposal submitted by Hydro Tasmania on 15 May 2007 prior to publishing the draft Rule determination.

On 7 June 2007 the Commission published a notice under section 99 of the NEL giving notice of the making of the draft Rule determination for this proposal. The Commission’s draft decision was to not make the proposed Rule.

The Commission considered that the Rule change proposal would result in deviation from the most optimal dispatch solution available through the co-optimisation of energy and FCAS in the NEM, as the co-optimisation process seeks to maximise the value of trade. The Commission considered that moving away from the most optimal dispatch solution did not promote the NEM objective. The reasons for the Commission’s decision are contained in the draft Rule determination which can be accessed from the link below.

The Commission invited submissions on this draft Rule determination and draft Rule. Consultation on the draft Rule determination closed on 20 July 2007. The Commission received one submission at the second stage of consultation from the proponent Hydro Tasmania. Requests for a hearing closed on 14 June 2007.

On 16 August 2007 the Commission published its Rule determination in accordance with section 102 of the National Electricity Law (NEL) which affirmed the Commission’s decision in its draft Rule determination to not make a Rule in relation to this Rule change proposal. The Rule determination addresses issues raised in the sole submission received in the second round of consultation. The reasons for the Commission’s decisions are contained in the Rule determination.