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Home News

Northern Territory makes reforms to boost renewables

by Imogen Hartmann
June 15, 2020
in News, Projects, Renewable Energy, Solar, Sustainability
Reading Time: 2 mins read
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The Northern Territory Government has announced priority electricity market reforms as part of its plan for 50 per cent renewables by 2030.

The market reforms will address system security and reliability, and aim to encourage private investors and maximise the amount of renewable power in the network.

These reforms have been designed to:

  • Improve coordination of solar and gas-fired generators (dispatch)
  • Ensure there is sufficient generation capacity available to meet consumers’ needs (reliability)
  • Facilitate payments between retailers and generators (settlement)
  • Improve the efficiency of the provision of essential power system security services (system services)

The Northern Territory Government said better integration of new, cleaner and cheaper power technologies in its electricity systems would help to boost the industry and create more jobs.

Queensland Minister for Renewables, Energy and Essential Services, Dale Wakefield, said, “Territory Labor is delivering more renewables because we know it means cheaper, cleaner power and more local jobs.

“These market reforms will encourage private investment in the new and innovative technology that will allow more renewables in our electricity system while ensuring reliable and secure power.”

The Territory’s power systems are evolving as it transitions to solar. With current and committed large scale solar projects planned for construction in 2020, and projected residential and commercial rooftop solar system installations, renewable energy is expected to supply up to 16 per cent of electricity consumption by the end of 2020.

Electricity industry stakeholders will be fully consulted on the detail of the reforms and their implementation through stakeholder workshops and formal consultation papers.

Two consultation papers have been recently released, along with invitations to join a Stakeholder Working Group.

The announcement of the Government’s priority electricity market reforms follow the Government’s announcement in April 2020 of the procurement of a large scale battery energy storage system (BESS) for the Darwin-Katherine system at a project cost of $30 million.

Procurement of the BESS is progressing in line with delivery in the second half of 2022.

For more information on the Northern Territory Electricity Market Priority Reform Program and Essential Systems Services consultation papers, click here.

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