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This
legislation is administered by the Electricity Authority. For more
information please see: Website: https://www.ea.govt.nz/ Contact
phone: +64 4 460 8860 Contact
address: PO Box 10041, Wellington 6143 |
Electricity
Industry Participation Code (Instantaneous Reserve Costs Allocation) Amendment
2025
This amendment to the Electricity
Industry Participation Code 2010 (Code) is made under section 38 of the
Electricity Industry Act 2010 (Act) by the Electricity Authority, having
complied with section 39 of that Act.
Amendment
1 Title
This is the Electricity Industry Participation
Code (Instantaneous Reserve Costs Allocation) Amendment 2025.
2 Commencement
This
amendment comes into force on 1 October 2026.
3 Code
amended
This amendment amends the
Electricity Industry Participation Code 2010.
Part 1
Amendments to Part 1 of Electricity Industry
Participation Code
4 Clause
1.1 amended (Interpretation)
(1) In clause 1.1(1), insert in its appropriate
alphabetical order:
at-risk
generation means a generating unit or group of generating
units as identified in the list of at-risk generation maintained by the system
operator in accordance with clause 8.59A
(2) In clause 1.1(1), replace the definition of
connection asset with:
connection
asset
(a) for the purposes of Part 8, and subparts 2, 6 and 7 of Part
12, has the meaning set out in the transmission pricing methodology; and
(b) for the purpose of Part 8 also means assets that are
used for the sole purpose of connecting generation
(i) to the grid via a distribution network; or
(ii) to a distribution network
Part 2
Amendments to Part 8 of Electricity Industry
Participation Code
5 Clause 8.59 amended (Availability costs
allocated to generators and HVDC owner)
In clause 8.59, replace generating
unit with at-risk generation in each place.
6 New clause 8.59A inserted (At-risk
generation list)
After
clause 8.59, insert:
8.59A At-risk generation list
(1) The system operator must publish and maintain a
list of at-risk generation in accordance with this clause.
(2) The list must:
(a) list each generating unit, or group of generating
units
(i) owned
by a single generator; and
(ii) at or behind a single point of
connection to the grid in respect of which the generator
is required to submit an offer; and
(iii) whose failure, including the failure of the connection
assets connecting it or them to a distribution network or the grid
(including via a distribution network), would be treated as a
contingent event (as
defined in the policy
statement) under normal conditions; and
(b) where a generating unit or group of generating
units satisfies paragraph (a) for a limited time only, specify a start and
end date and time for the inclusion of that generating unit or group of generating
units in the list.
(3) Notwithstanding subclause (2):
(a) the list must exclude any generating units or groups
of generating units which comprise a subset of any other group of generating
units which meets the requirements of paragraph (2)(a) (such that each generating
unit is only included in one entry in the list); and
(b) each generating unit or group of generating units
comprising an entry on the list must have a total generating capacity of more
than 60 MW.
(4) The system operator must specify in the policy
statement how it generates and updates the list.
(a) request from any participant
responsible for at-risk generation information about the generation from a generating unit (>
60MW) or group of generating units (> 60MW); and
(b) acting reasonably specify the time frame to provide the
information, its format, and the method of delivery.
(6) A participant must comply with a request made under
subclause (5) within the timeframe specified.
(7) Where the system operator already holds the information
referred to in subclause (5) (e.g. from SCADA data), it may, by
agreement with the relevant participant, use this information rather
than requesting the information under subclause (5).
(8) For the purpose of this clause, normal conditions excludes times
(a) when there is an outage of grid equipment; or
(b) during the commissioning of the relevant generating
unit or group of generating units.
Made at Wellington on October 2025
Anna Kominik
Chair
Electricity Authority
Certified in order for signature:
Nicholai Mumford Rachael Brown
Senior Legal Counsel Partner
Electricity Authority Bell Gully
X October 2025 X October 2025
Explanatory Note
This note is not
part of the amendment but is intended to indicate its general effect.
This amendment to the
Electricity Industry Participation Code 2010 (Code) comes into force on 1
October 2026.
The
amendment amends Parts 1 and 8 of the Code to ensure
that groups of generating units whose assets collectively cause the need for
instantaneous reserve pay an appropriate share of the procurement costs of this
reserve.
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This is secondary legislation issued under the authority of the Legislation Act 2019. |
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Consolidated version |
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Empowering Act and provisions |
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Replacement empowering Act and provisions |
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Date made |
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[Insert date notified in the New Zealand Gazette.] |
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