Energy Policy WA has published a Reserve Capacity Mechanism Review: Information Paper (Stage 1) and Consultation Paper (Stage 2) seeking feedback on the further proposed changes to the Reserve Capacity Mechanism.
The Coordinator of Energy is undertaking a review of the Reserve Capacity Mechanism (RCM) under clause 2.2D.1 of the Wholesale Electricity Market (WEM) Rules. The RCM Review incorporates the Coordinator’s first review of the Planning Criterion under clause 4.5.15 of the WEM Rules. The review is being conducted in three stages.
This Reserve Capacity Mechanism Review: Information Paper (Stage 1) and Consultation Paper (Stage 2) is the culmination of Stage 2 of the Reserve Capacity Mechanism Review and is of two Parts:
Part 1 is an Information Paper that presents the final design for elements of the RCM investigated developed in stage one of the RCM Review including:
the Planning Criterion;
the new Flexible Capacity product;
the Benchmark Reserve Capacity Price (BRCP); and
methodologies for assigning Certified Reserve Capacity (CRC) to the different capacity products and Capability Classes.
Part 2 is a Consultation Paper that sets out the findings and recommendations arising from stage two of the RCM Review, presenting proposals for changes to the design of:
Individual Reserve Capacity Requirement (IRCR);
CRC allocation and dispatch for Demand Side Programmes (DSPs);
testing, outages and refunds; and
two new proposals on elements of stage one (unserved energy target in the Planning Criterion and the party responsible for setting the BRCP reference technologies).
Stakeholder feedback is invited on the further proposed changes to the RCM that are outlined in Part 2 of this paper. Submissions can be emailed to energymarkets@demirs.wa.gov.au. Any submissions received will be published on the Reserve Capacity Mechanism Review page, unless requested otherwise. The consultation period closes at 5:00pm (AWST) on Wednesday 31 May 2023. Late submissions may not be considered.
A copy of the Reserve Capacity Mechanism Review: Information Paper (Stage 1) and Consultation Paper (Stage 2) can be found by clicking the link below.
Reserve Capacity Mechanism Review: Information Paper (Stage 1) and Consultation Paper (Stage 2)
