The Australian Competition and Consumer Commission today issued a final determination authorising changes intended to increase the flexibility of the technical standards contained in the National Electricity Code. Technical standards are imposed on electricity generators and users to maintain the security and integrity of the power system.
"The new standards are technology neutral and flexible enough to allow for emerging technologies such as wind generators, gas turbines and co-generation", ACCC Commissioner responsible for energy matters, Mr Ed Willett, said today.
The new arrangements give electricity generators and large customers a greater ability to negotiate the technical requirements they will have to satisfy in order to have access to the electricity grid.
The National Electricity Code Administrator observed that the existing Code prescribed a very rigid set of standards in a report released in December 2001.
Mr Willett said that in some instances these rigid standards impeded entry to the market.
"The revised regime should facilitate a more competitive and efficient electricity market", he said. "It eliminates some of the unnecessary requirements which previously existed and focuses on decreasing the cost of connection to the grid whilst maintaining the levels of performance required to ensure power system security in the National Electricity Market.
"The new standards also provide a more secure environment for investment. Industry participants will have more certainty about their current and future obligations in relation to the technical requirements for access to the electricity grid", he said.
The ACCC expects the new standards will enhance the efficiency of the market and result in costs savings to industry players, which should flow through to customers.
A copy of the final determination is available on the ACCC's website: http://www.accc.gov.au or from Mrs Maxine Helmling on (02) 6243 1246.