Regulatory framework to support stand-alone power systems

The Hon Bill Johnston MLA, Minister for Energy has approved new and amendment regulatory instruments to support the deployment of SPS as a network replacement service, these include:

• New regulations - Electricity Industry (Stand-Alone Power Systems) Regulations 2021, which prescribe that the number of customers that a single SPS can serve is five. 
• Electricity Industry Regulations Amendment (Stand-Alone Power Systems) Regulations 2021, which amend the following existing regulations:
  • Electricity Industry (Licence Conditions) Regulations 2005, which specifies a new licence condition requiring Western Power and Horizon Power to develop and publish an engagement strategy in relation to SPS; and
  • Electricity Industry (Obligation to Connect) Regulations 2005, which amends the obligation to connect arrangements to reflect SPS.
• Amendments to the Electricity Industry (Network Quality and Reliability of Supply) Code 2005, which expand the definition of network to include SPS and require quality and reliability reporting for SPS.  

In addition, Energy Policy WA has undertaken a comprehensive review of other relevant regulatory instruments and policies to ensure that the widespread deployment of SPS is supported by the regulatory framework as an alternative network replacement option. 

This included a review of customer protections in an SPS context, which found that these protections would continue to apply to SPS customers, and no amendments were required. Energy Policy WA will continue to monitor these arrangements.

The relative newness of SPS technology and the pace of technological change means that, inevitably, certain scenarios and customer experiences will emerge which may require certain policy and regulatory settings to be adjusted. Energy Policy WA will continue to work to identify and resolve these as they occur and as SPS deployment increases.