The AER has published its final report on the events of 31 October 2005 when the failure of a major transmission line in New South Wales caused significant disruption to the market.
The AER investigated the response of market participants to the transmission line failure and subsequent events. The investigation did not identify any breach of the National Electricity Rules but identified scope to significantly improve emergency response practices in the NEM. The AER has acted on these findings by seeking changes in some of NEMMCO's practices and reviewing aspects of the electricity rules dealing with generator ramp rates.
The AER has the role of enforcing the electricity rules and monitoring market outcomes. The AER's practice is to conduct detailed reviews of significant events identified by its ongoing monitoring activities, including its weekly market reports and its incident reports on events which resulted in prices of over $5000/MWh.
A copy of the final report is attached below, together with a follow-up letter to NEMMCO, and NEMMCO's response.
