AER v Hornsdale Power Reserve Pty Ltd [2022] FCA 738

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

Clauses 3.8.7A(l), 4.9.8(a) and 4.9.8(d) of the National Electricity Rules. 

Outcome: 

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

Overview

On 28 June 2022, the Federal Court found that Hornsdale Power Reserve Pty Ltd (Hornsdale Power Reserve) breached the National Electricity Rules (NER).

The Federal Court found that Hornsdale Power Reserve contravened clauses 3.8.7A(l), 4.9.8(a) and 4.9.8(d) of the NER between 23 July 2019 and 14 November 2019 as it was unable to provide frequency control ancillary services that complied with:

  • its market ancillary service offers;
  • dispatch instructions it received from AEMO; and
  • the technical characteristics of its ancillary service generating units and ancillary service loads.

The Court ordered by consent that Hornsdale Power Reserve pay a pecuniary penalty of $900,000 and contribute to the AER’s legal costs.