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Security of Supply

A function of the Commission under the Electricity Act is to use reasonable endeavours to ensure the security of electricity supply. It is required to perform this function without the need for emergency conservation campaigns and while minimising any distortions to the operation of the electricity market.

The Commission's activities include forecasting supply and demand, developing and publishing guideline hydro levels for security of supply, contracting for reserve energy, and improving the ability of consumers to manage price risks in the market.

The Commission's Security of Supply work is now the responsibility of the Modelling and Forecasting team, with the primary point of contact being Brian Bull (Senior Analyst).

Security of Supply status 2009/2010

For background and explanatory paper please refer Security of Supply policies below.

Hydro risk curves, storage projections ("spaghetti charts") and thermal use projections were last updated in February 2010. Under normal conditions, they will be updated no more than quarterly. In a potential or actual shortage situation they may be updated more often. (However, the 'actual storage' lines on the Hydro Risk Curve plots are updated at least weekly at all times.)

Data values of Hydro Risk Curves (Feb 2010) xls [17 KB]

Security of Supply information

Security of Supply information for businesses

Supplyline

Security of Supply policies

Background and explanatory papers

Security of Supply Policy pdf [96 KB]

Emergency Response Plan - December 2009 pdf [168 KB]

The Commission has developed a new Emergency Response Plan (ERP), replacing the older interim plan. The ERP seeks to clarify how the Commission will act, and expect participants to act, during potential and actual shortage situations. A range of situations are covered, from normal security to emergency status. The ERP is an evolving document, and will be reposted here as it continues to develop.

Explanatory paper commenting on the principles behind the ERP pdf [239 KB]

The 2008 Winter Review recommended that the Commission should "provide more certainty around the terms of resource consent access to 'emergency' generation resources where consents make reference to the Electricity Commission". Accordingly, the Commission has written to Contact Energy to clarify the Commission's stance on the Lake Hawea resource consent.

Letter to Contact Energy commenting on the Lake Hawea resource consent pdf [171 KB]

Security of Supply Emergencies - Rolling Outages

Rolling outages are a last resort measure for managing severe energy shortages. Under normal conditions they should not be necessary, but it is prudent to plan for contingencies where they may be required. The Electricity Governance (Security of Supply) Regulations 2008 require the Commission to publish a Security of Supply Outage Plan (SOSOP) which sets out how rolling outages would be managed