AER v AGL HP 1 Pty Ltd [2022] FCA 737

Sector: 
Segment: 
Category: 
Court decision
Enforceable undertaking
Release date: 
28 June 2022
Related provisions: 

Clauses 4.4.3 and S5.2.2 of the National Electricity Rules

Outcome: 

The Federal Court judgement is available from the Federal Court of Australia website.

Overview

On 28 June 2022, the Federal Court ordered that 3 subsidiaries of AGL Energy Limited (AGL) had breached the National Electricity Rules (NER) by failing to provide critical information to the Australian Energy Market Operator (AEMO) and network service provider ElectraNet.

The Federal Court found that AGL contravened clauses 4.4.3 and S5.2.2 of the NER between 6 August 2013 and 23 December 2016, by operating the generating units of the Hallett 1, 2, 4 and 5 wind farms and allowing those generating units to supply electricity to the power system when the settings for the repeat low voltage ride-through protection system applied to them had not been approved in writing by ElectraNet or AEMO.

The Court ordered by consent that AGL pay a civil penalty of $3.5million, implement a compliance program and contribute to the AER’s legal costs.