NECA: Industrial relations force majeure event in Victoria in January 2000

As part of its market surveillance and monitoring activities, NECA monitored the progress and effects of the industrial relations force majeure event in Victoria. The IRFM (industrial relations force majeure) arrangements came into effect at midday on Tuesday 11 January and ceased with effect from the trading interval ending at 12.30pm on Saturday 12 February.

NECA held discussions with Yallourn Energy throughout Thursday and Friday 10 and 11 February about the basis for reporting the amount of Yallourn's capacity that was unavailable to the market as a result of industrial action, as opposed to unrelated technical problems. Following the first of those discussions on Thursday 10 February, at managing director level, Yallourn Energy issued a statement about the detailed status of each unit, in the interest of an informed market. Those discussions continued on Friday, 11 February until it became clear that prevailing system conditions meant that the precise basis for reporting continued unavailability would not effect the market outcome.

During the administered price period, the price cap applied in relation to 165 trading intervals (10.6% per cent of the total). Of that total, the price cap had the effect of reducing prices by more than 10 per cent in 97 trading intervals. The average reduction was $499.49. The largest reduction was $4,915.99 in relation to the trading interval ending at 4.30 pm on Thursday 3 February. The table available to download below sets out details of each trading interval during which the price cap has applied. Also available to download are graphs showing outturn information on unadjusted price, demand and the relevant price cap on a week-by-week basis since 11 January.