The Commission is satisfied that the Rule as Made will, or is likely to, contribute to the achievement of the NEO because it facilitates the effective and efficient transition between the last ANTS and the first NTNDP and enables the processes that support their development, reflective of good regulatory practice; and promotes a more strategic and efficient approach to electricity transmission network planning which is in the long-term interests of consumers.

Background

On 20 February 2009, the Commission received a Rule change proposal from the Ministerial Council on Energy (MCE).

The Rule change proposal resulted from the MCE’s response to the Commission’s Final Report on the National Transmission Planning Arrangements in June 2008 (Final Report).

Amongst other things, the Final Report included a series of proposed Rule changes to manage the appropriate transition to the proposed new arrangements to be known as the National Transmission Network Development Plan (NTNDP). The Final Report recommended that, if practicable, the first NTNDP should be published by December 2009 and identified a number of facilitating steps required to meet this publication date. The Final Report also recommended the MCE to consider the merits of this issue and the appropriate mechanisms to facilitate the development of the first NTNDP.

In its response to the Final Report, the MCE considered that a NTNDP could not be provided by December 2009. Rather the MCE considered that a transitional document, referred to as a National Transmission Statement (NTS), should be published for 2009 with the first NTNDP to be published in December 2010.

The MCE submitted the Rule change proposal to enable the publication of a NTS for 2009.

On 26 February 2009, the Commission published a notice under sections 95 and 96 of the NEL commencing first round consultation on this Rule change proposal and advising of its intention to expedite the Rule change process on the grounds that it is non-controversial, subject to the receipt of written objections.

The Commission was of the view that the proposed Rule is unlikely to have a significant effect on the National Electricity Market as the proposed NTS only slightly modifies the current Annual National Transmission Statement (ANTS) to make the process consistent with the NTNDP as proposed in the Commission’s Final Report. Hence, the proposed Rule change is only transitional in nature. In the Commission’s view, the changes are unlikely to have any significant market implications or to result in any material change to the status quo, and only a limited number of participants would be affected by the Rule change. No written objections were received by 13 March 2009. Accordingly, the Commission continued to expedite the statutory Rule change process under section 96 of the NEL.

No submissions on the Rule change proposal were received by 27 March 2009.

On 2 April 2009, the Commission published a notice under sections 102 and 103 of the National Electricity Law (NEL) of the making of the National Electricity Amendment (National Transmission Statement) Rule 2009 and its related Rule determination. This Rule was made under an expedited process in accordance with section 96 of the NEL.

The Commission is satisfied that the Rule as Made will, or is likely to, contribute to the achievement of the NEO because it:

• facilitates the effective and efficient transition between the last ANTS and the first NTNDP and enables the processes that support their development, reflective of good regulatory practice; and
• promotes a more strategic and efficient approach to electricity transmission network planning which is in the long-term interests of consumers.

The Rule commences on 16 April 2009