The following conditions apply to deemed exemption class NDO3 prior to 27 August 2013 . Current applicable conditions for exemption.
General Requirements
- All private networks must, at all times, be installed, operated and maintained in accordance with all applicable requirements within the jurisdiction in which the network is located for the safety of persons and property, including where relevant an industry Code or Guideline otherwise applicable to a network service provider providing similar services. This includes, where applicable, an obligation to have current, and/or maintain, a safety management plan or similar, whether registered or unregistered with a competent safety authority or regulatory agency within that jurisdiction.
- Any generation source located within a private network must be designed in the event of a loss of supply from the local network service provider’s network either to shutdown entirely or must disconnect from that other network (i.e. ‘island’) and not reconnect except in accordance with arrangements approved by the relevant NEM registered network service provider.
Metering installation
The following requirements relate to all new installations and to any reconfiguration of a metering installation within an existing private network.
Metering at the connection point to the NEM is to be determined in conjunction with the relevant transmission or distribution network service provider’s requirements for connection of a customer.
Network owners and operators must ensure that all metering installations used in private networks are fit for purpose and compliant with the requirements of the National Measurement Act, which is administered by the National Measurement Institute and the regulations in force under that Act. The AER does not require an existing metering installation to be upgraded; however, in the event of a billing dispute it will be incumbent on the network operator to demonstrate that the metering installation is accurate.
Transmission networks:
Regardless of whether a network is registered with AEMO or exempted from registration by the AER, all metering in electricity transmission networks must be installed in accordance with all reasonable requirements of AEMO and additionally, in accordance with the requirements specified in a connection agreement with a network service provider.
Distribution networks:
In all distribution situations meters must either:
- be installed in a reasonably accessible location with safe, convenient and unhindered access to facilitate meter reading, testing and meter maintenance; or
- in private networks serving only private network customers, meters may have remote facilities to permit access to current metering data either by a readout device or by electronic means including via a web portal or other equivalent facility.
The metrology procedure and technical standards applicable to a metering installation remain subject to the laws of the jurisdiction in which the installation resides.
Off-market and on-market energy generation
All off-market and on-market energy generation installations, whether connected directly or indirectly to a NEM distribution network, must be metered in accordance with the applicable requirements for direct connection to the NEM distribution or, where applicable, transmission network.
A word of caution: Generator installations within private networks do not necessarily enjoy full access to government incentive schemes. A generator not directly connected to the NEM may have no access, or restricted access, to government or industry incentive programs that otherwise apply to other similar installations connected to a NEM registered service provider In particular, access to premium feed-in tariffs may be problematic for such generators.
It is not intended that small generator installations within private networks should be exposed to unduly onerous metering requirements. For generator installations less than 1MW and with a peak kilowatt capacity less than the average energy demand of the private network (or as otherwise varied by agreement with the local distributor) adequate metering may be determined in consultation with the relevant NEM registered service provider. For small
installations this may involve a bidirectional meter installed at the connection point to the local distribution network.
Further details of metering requirements must be obtained from the local electricity distribution or transmission network service provider. Additional requirements of AEMO also apply to generator installations larger than 30MW.
Electric vehicle charging facilities
This classification only applies to a private network with a vehicle charging facility owned by another party connected to it. An exemption is required by the private network owner/operator if the private network sits between the DNSP and the charging facility. On the other hand, if the vehicle charging facility is directly connected to the NEM it will be directly metered by the local DNSP. Wherever there is a direct one-to-one relationship between the DNSP and the charging facility no network exemption is required. Note that the supply of electricity from a charging facility to a vehicle is a service to the transport sector, which is not regulated by the AER. As this is a deemed exemption category no application is required for exemption. Where the facility operates only as a load, metering and charging arrangements within the private network may be determined by agreement between the network owner/operator and the proprietor of the charging facility. If no agreement is reached then the conditions set out in sections 5, 7, 9 and 10 are to apply. A facility which includes a capacity to export electricity into the local distribution network must also comply with the metering requirements in clause 6(4) for energy generation sources.