Rulings Panel decision on security constraint Code breach

The Rulings Panel has ordered Transpower to pay a fine of $65,000 after finding it breached the Electricity Industry Participation Code 2010 (the Code) in relation to the incorrect application of security constraints in the modelling of the transmission system in early 2022.

The independent Panel, which deals with complaints about breaches of the Code, found that Transpower had failed to comply with a clause of the Policy Statement which constituted a breach of the Code.

Transpower admitted the breach which it had earlier reported to the Authority.

An error when developing a temporary voltage stability constraint to manage a low hydro level situation in the lower South Island in early 2022 led to more expensive generation being dispatched for 102 trading periods when it shouldn’t have been.

The error was identified and rectified on 13 April 2022.

The Panel approved an agreed resolution between the Electricity Authority and Transpower which also includes Transpower paying the Authority’s costs.