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Code amendment for temporary grid reconfigurations

Code amendment to provide flexibility for temporary transmission grid reconfigurations

The Authority has amended the Electricity Industry Participation Code 2010 (Code) to enable Transpower to temporarily reconfigure the grid, subject to certain conditions. This allows for an increase in the southward flow of electricity, assisting generators to preserve southern hydro storage.

The impetus for the amendment is the low hydro storage levels in the southern part of the South Island caused by dry weather conditions. There is not currently an energy shortage. The emerging localised security of supply problem in Southland is due to transmission constraints, not a lack of energy in New Zealand.

The Code amendment provides more flexibility for Transpower and generators to take stronger precautionary measures if dry conditions persist, provided those measures satisfy a net benefit test.

The amendment comes into force on 15 March 2013 and will expire after nine months. A permanent Code amendment has been developed but further analysis is required before it can be released for consultation. The Authority expects to decide on a permanent solution before the amendment lapses.

• Gazette notice and Code amendment

ENDS

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