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- Electricity regulator gives grid operator more powers
- The energy sector is hoping to avoid shortages seen last year and in 2021
- The Electricity Authority is warning that hydro inflows are the lowest on record for this time of year
The national grid operator has been given more powers to better manage electricity supply ahead of winter.
The Electricity Authority has made an "urgent code amendment" effective on Friday, giving Transpower more information gathering powers to help it more effectively manage supply risks.
The changes were made as the energy sector looked to avoid a repeat of the shortages seen in autumn last year, when Transpower asked households to conserve power or potentially face cuts.
In 2021, thousands of households lost power on a freezing winter night, due to insufficient supplies being arranged for a surge in electricity demand, leading to Transpower being fined $150,000.
The authority said it would also update pricing rules for the wholesale electricity market from mid-next month.
It said the changes would ensure correct pricing signals were set, in order to incentivise immediate responses in case of a shortage in energy supply.
"While we are better prepared for this winter than last year, New Zealand's hydro inflows are the lowest on record for this time of year," the authority's acting general manager wholesale and supply Jeremy Cain warned.
"Low hydro lake levels increase reliance on thermal generation, and it is critical Transpower has accurate thermal fuel information so can do its job effectively," Cain said.
The authority said information on thermal fuels had become "increasingly critical for forecasting and managing security of supply".
"The winter of 2024 highlighted how constrained thermal fuel supply can significantly impact both hydro generation and overall system stability. Transpower needs access to that information so it can give the industry accurate and actionable insights to inform their decisions ahead of winter," Cain said.
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