Code Change Panel
Pricing under extreme market conditions
Code changes subject to interim authorisation

3.9.2Determination of spot prices

The central dispatch process will determine spot prices based on dispatch offers and dispatch bids in accordance with this clause 3.9.2.

(a)DELETED

(b)DELETED

(c)Each time the dispatch algorithm is run by NEMMCO, it will result in themustdetermineation ofa dispatchprice for each regional reference node for a dispatch interval in accordance with clause 3.8.21(b), provided that if NEMMCO fails to run the dispatch algorithm to determine dispatch prices for any dispatch interval then the dispatch price for that dispatch interval will be the last dispatch price determined by the dispatch algorithm prior to the relevant dispatch interval.

(d)The dispatch price at a regional reference node represents the marginal value of supply at that location and time, this being determined as the price of meeting an incremental change in load at that location and time in accordance with clause 3.8.1(b).

(e)Notwithstanding clauses 3.9.2(c) or (d), for any dispatch interval if:

(1)there is a supply deficit in a region such that there is insufficient supply capability to supply the total load in that region,the dispatch price for that dispatch interval has not already been set by the central dispatch process and NEMMCO reasonably determines that the central dispatch process may determine that:

(i)all load in a region could not otherwise be supplied and NEMMCO issues instructions that are current for that dispatch interval to Network Service Providers or Market Participants to shed load, or

(ii)no more interruptible load that had been shed as a result of a contingency event can be restored in a dispatch interval immediately following the restoration of the frequency of the power system to within the normal band of the frequency operating standards,

then, subject to 3.9.2(f),NEMMCO must set the dispatch price at that region’s regional reference node to equal VoLL, subject to adjustments under clause 3.9.5;

(2)NEMMCO has declared a dispatch interval to be an intervention price interval under clause 3.9.3, then NEMMCO must set the dispatch price in accordance with clause 3.9.3;

(3)Deleted

(4)an administered price period in accordance with clause 3.14 applies, then NEMMCO must limit the dispatch price in accordance with clause 3.14.2. (c1).

(f)If interruptible load is shed as a result of a contingency event and NEMMCO has not set the dispatch price to equal VoLL pursuant to clause 3.9.2(e)(1)(i), NEMMCO must not set the dispatch price to VoLL pursuant to clause 3.9.2(e)(1)(ii) prior to the commencement of the third dispatch interval following the restoration of the power system to a secure operating state and the restoration of the frequency of the power system to the normal band of the frequency operating standards.

(g)Moved to 3.9.1(3a)

(h)The spot price at a regional reference node for a trading interval equals the time weighted average of the dispatch prices at the regional reference node for each of the dispatch intervals in the trading interval provided, that if NEMMCO has made a declaration that the Market is suspended under clause 3.14.3, then the spot price in any trading interval during the period during which the spot market is suspended will be determined in accordance with clause 3.14.5.

(i)Deleted

(j)Deleted

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Doc No: 1048984