HPR enabling significant cost savings
In 2019, HPR reduced costs in the NEM by $116M through the provision of Contingency and Regulation Frequency Control Ancillary Services (FCAS). In particular, thanks to HPR, average Regulation FCAS costs have been reduced by more than 90% (from $470/MWh to $40/MWh), meaning major saving on energy costs in South Australia.
Furthermore, the report outlines how HPR is able to respond to separation events that can occur from time to time. For example, on 16 November 2019, South Australia was islanded due to an interconnector equipment failure causing a frequency rise and price volatility in market prices. As such, HPR helped to return the system to the normal frequency range (50 ± 0.15Hz) within minutes—savings consumers an estimated $14M.
Aurecon also published a report on HPR’s first year performances showing how the battery system is reducing the risk of separation events between South Australia and the NEM, and how the FCAS markets were improved in 2018.
Want to know more? Find Aurecon’s full HPR reports here