Prices for the week were generally aligned across the market. Spot prices for the week averaged from $25/MWh in Victoria to $29/MWh in South Australia.
Turnover in the energy market was $105 million. The total cost of ancillary services for the week, including Tasmania, was $278 000, or around 0.3 per cent of the energy market.
On March 10 the AER determined that Directlink was eligible to become a regulated interconnector.
Significant variations between actual prices and those forecast 4 and 12 hours ahead occurred in 68, or around 20 per cent of all trading intervals. Demand forecasts produced 4 and 12 hours ahead varied from actual by more than 5 per cent in a quarter of all trading intervals across the market. These variations were most frequent in South Australia occurring in around two thirds of all trading intervals.
The AER welcomes comments on the information contained in, or the layout of, the report. Comments should be sent to Peter Adams or Mark Wilson, AER, GPO Box 922, Adelaide SA 5000 (email AERInquiry@aer.gov.au; fax (08) 8213 3414).
Figure 1 sets out national demand and spot prices in each region for each trading interval. Figure 2 compares the volume weighted average price with the averages for the previous week and the same quarter last year. Figure 3 compares the weekly price volatility index on the same basis.
Figure 1 National demand and spot price all regions
Figure 2 Volume weighted average spot price for energy market ($/MWh)
Maximum spot prices reached $151/MWh in Queensland early on Wednesday afternoon. Other maximum prices ranged from $93/MWh in South Australia to $69MWh in Victoria.
There were no low reserve conditions forecast for the week.
The total cost of ancillary services on the mainland for the week was $111 000 or 0.1 per cent of the total turnover in the energy market.
Figure 4 Volume weighted average frequency control ancillary service prices (excluding Tasmania)
Raise
Lower
6 sec
60 sec
5 min
Reg
6 sec
60 sec
5 min
Reg
Last week($/MW)
0.48
0.36
0.73
0.5
0.1
0.05
0.39
1.01
Previous week ($/MW)
0.75
0.49
0.87
0.38
0.19
0.3
0.84
1.18
Last quarter ($/MW)
1.76
0.73
1.15
1.54
0.39
2.28
5
1.93
Market cost($1000s)
19
14
43
10
0
0
6
18
% of energy market
0.02%
0.01%
0.04%
0.01%
0%
0%
0.01%
0.02%
The total cost of ancillary services in Tasmania for the week was $167 000 or 4 per cent of the total turnover in the energy market in Tasmania. The majority of this cost occurred following the loss of Basslink on Friday when the price for the lower 6 second service reached almost $10 000/MWh at 8.35pm.
Figure 5 Tasmanian volume weighted average frequency control ancillary service prices
Raise
Lower
6 sec
60 sec
5 min
Reg
6 sec
60 sec
5 min
Reg
Last week($/MW)
3.46
0.4
0.8
0.47
20.75
0.05
0.4
1.03
Previous week ($/MW)
2.05
0.3
0.48
0.8
0.29
0.18
0.31
0.44
Last quarter ($/MWh)
7.89
1.05
1.05
1.58
4.43
1.06
1.06
1.97
Tasmania Market cost($1000s)
15
4
10
1
126
1
5
5
% Tasmania of energy market
31.77%
8.98%
21.52%
2.56%
275.54%
1.7%
11.08%
11.39%
Figure 6 shows the daily breakdown of price for each frequency control ancillary service. It also includes the cost of services sourced locally and in Tasmania.
Figure 6 Daily frequency control ancillary service prices
Figure 7 shows the weekly participation in each of the ancillary service markets on a regional basis.
Figure 7 Regional participation in ancillary services
Figures 8 and 9 show 30-minute prices for each of the ancillary services.
Figure 8 Prices for raise services
Figure 9 Prices for lower services
Figures 10 and 11 show the 30-minute Tasmanian price for each of the ancillary services.
Figure 10 Tasmanian prices for raise services
Figure 11 Tasmanian prices for lower services
Figures 12 and 13 present both the raise and lower requirements for each service over the week.
Figure 12 Raise requirements
Figure 13 Lower requirements
Figures 14 and 15 present both the raise and lower Tasmanian requirements for each service over the week.
