Northern Territory Electricity Market Priority Reform Program

The Northern Territory (NT) electricity supply industry is undergoing a significant transition, and reform is required to facilitate an increasing number of market participants and the adoption of emerging technologies that will support the government’s target of 50% renewable energy by 2030, while maintaining secure, reliable and least cost electricity for consumers and taxpayers.

On 12 June 2020, the Northern Territory Government announced the Northern Territory Electricity Market Priority Reform Program to:

  • improve coordination of solar and gas-fired generators
  • ensure there is sufficient generation capacity available to meet consumers’ needs
  • facilitate payments between retailers and generators
  • improve the efficiency of the provision of essential power system security services.

Electricity industry stakeholders will be fully consulted on the detail of the reforms and their implementation through working groups and formal consultation papers.

To read the media release on delivering cheap and clean power through more renewables, go to the Northern Territory Government Newsroom.

The delivery of the government’s priority reform program will be overseen by a Design Development Team, comprising officers from the Economic Policy unit of the Department of Treasury and Finance and the Office of Sustainable Energy within the Department of Trade, Business and Innovation.

Contacts

Design Development Team
Northern Territory Electricity Market Priority Reform Program
Department of Treasury and Finance and Department of Trade, Business and Innovation
electricityreform@nt.gov.au

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Information for stakeholders on the Northern Territory Electricity Market Priority Reform Program are outlined in the introductory notes on scope and work program.

Get introductory notes on scope and work program.

Introductory notes on scope and work program PDF (296.3 KB)
Introductory notes on scope and work program DOCX (203.3 KB)

The paper provides introductory notes on:

  • the components that will form the priority electricity market reforms
  • the work program for design and implementation of the new arrangements
  • opportunities for stakeholder engagement.

Parties interested to participate in the priority reform program stakeholder working group are invited to email their contact details (name, organisation, phone number, email address) to electricityreform@nt.gov.au.

Contact

Ms Samantha Byrne
Assistant Under Treasurer Economic Group
Department of Treasury and Finance
Phone: 08 8999 7487
electricityreform@nt.gov.au

With the growing uptake of utility scale and behind-the-meter solar PV generation and emergence of new technologies capable of providing essential system services (ESS), it is timely for the Territory’s arrangements to be reviewed to ensure that ESS delivery is economically efficient and at least cost but with no compromise to system security.

The proposed changes to the ESS arrangements are:

  • updating the quantum of the rate paid to Territory Generation for ESS by other generators
  • codifying the process for reviewing and updating the quantum of the rate to ensure the rate remains up-to-date
  • improving the transparency of costs for individual and categories of services captured in the rate, such as by defining and separately costing each ESS required.

In addition to the implementation of changes to the provision of ESS by Territory Generation, the Northern Territory Government recognises that there may be benefits from contestability in the provision of ESS.

In reviewing ESS, the Design Development Team will review potential arrangements for the market provision of ESS in the Territory’s regulated electricity systems (Darwin-Katherine, Alice Springs and Tennant Creek).

Issues paper

The ESS review forms the first part of the Design Development Team’s consultation for the ESS review and outlines the background to the review, its scope and identifies a range of issues on which stakeholder feedback and advice is sought.

Get the review of essential system services issues paper.

Review of essential system services issues paper PDF (396.8 KB)
Review of essential system services issues paper DOCX (222.5 KB)

Stakeholders are invited to make a submission on the issues paper by 13 July 2020.

Contact

Mr Matthew Sargeant
Director Office of Sustainable Energy
Department of Trade, Business and Innovation
Phone: 08 8999 5305
electricityreform@nt.gov.au

Last updated: 12 June 2020

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