The Electricity Authority is continuing work to support the electricity system to better coordinate resources during peak demand periods.
We are seeking feedback on proposed interim and long-term solutions to manage peak demand periods and the need for increased flexibility.
We are also seeking information from industry through our survey on available demand-side resources. The information gathered through this survey will be used to inform our consultation paper and future solutions for accelerating the uptake of demand response and distributed energy resources in the wholesale market.
For winter 2023, we implemented four options to better manage risks to electricity supply during peak demand periods.
On 21 November 2023, we decided to permanently implement three options:
- Option A: Provide better information on headroom in supply stack
- Option B: Provide forecast spot prices under demand sensitivity cases
- Option D: System operator review of wind offers based on external forecast
On Friday 15 December, we released a Code Amendment Omnibus Consultation Paper. This paper includes a proposal to amend the Code to permanently implement Option E (Clarify availability and use of 'discretionary demand' control) from our Winter 2023 work programme.
Find out more:
- Driving efficient solutions to promote consumer interests through winter 2023 – decision paper
- Our decision to implement Option E and not progress Option G
- Gazette notice detailing our urgent Code amendment to ensure Option E can be implemented for winter 2023
- Our decision to implement Options B and D.
12 January 2024Survey —Demand-side flexibility surveyView consultation
12 January 2024Consultation —Potential solutions for peak electricity capacity issuesView consultation
15 December 2023Consultation —
21 November 2023Decision —
Permanently implement Options A, B and D
Winter 2023Implementation —
Option A: Provide better information headroom in supply stack. Option A is live in WITS
Option B: Provide forecast spot prices under demand sensitivity cases. Option B is live in WITS
Option D: System operator review of wind offers based on external forecast. Option D is live via EMS
Option E: Clarify availability and use of 'discretionary demand' control
8 May 2023Report —
New EMI report for scheduled generation outages
13 April 2023Decision —
9 March 2023Decision —
25 November - 16 December 2022Consultation —Driving efficient solutions to promote consumer interests through winter 2023View consultation
October - December 2022Correspondence —
The Electricity Authority is dedicated to making market improvements to enhance the reliability of New Zealand’s electricity system.
Since mid-2021 there has been an increase in the number of trading periods where the available electricity supply is tight, relative to the expected demand and normal reserve requirements. A key reason for this is the increased role of intermittent generation and the growing cost of gas, coal and carbon emissions. This project looks at how to better manage residual supply risk and solutions for responding to large, unexpected changes in wholesale electricity capacity requirements.
Other projects in System security and resilienceView all projects
Future security and resilience
Ensuring our electricity system remains secure and resilient for New Zealand's low-emissions energy transition.
Submissions open until 11 April 2024View consultation
Improving the accuracy of intermittent generation forecasts
Improving the accuracy and frequency of intermittent generation forecasts in the spot market.