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Australian Energy Regulator sues SA’s Tesla Big Battery

Economy
23 September 2021 11:10 (AEST)

Source: Hornsale Power Reserve.

The Australian Energy Regulator is suing Hornsdale Power Reserve (HPR) for failing to support the South Australian power grid in the event of an emergency.

HPR is the owners of the Tesla Big Battery in South Australia, the largest lithium-ion battery in the world.

The 150-megawatt battery was being paid to be on standby to pump energy into the grid at short notice in case of a major power plant or transmission failure.

However, the regulators alleges that HPR did not deliver this service during a major Queensland coal plant failure in 2019.

The Australian Energy Regulator labelled this as a “risk to power system security and stability”.

The Australian Energy Market Operator (AEMO) first brought the alleged conduct to the AER’s attention following the power system failure at Kogan Creek Power Station in October 2019.

AER Chair Clare Savage said the AER was sounding the alarm on concerning behaviour in the frequency control market.

“It is vital that generators do what they say they can do if we’re going to keep the lights on through the market’s transition to variable renewable generation,” Ms Savage said.

“AEMO relies on accurate information and compliance with offers and dispatch instructions to ensure it can effectively stabilise frequency deviations.”

“Contingency frequency control ancillary services providers receive payment from AEMO to be on standby to provide the services they offer,” she noted.

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