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Tilted Postage Stamp analysis – characterising the grid

This report describes the analysis undertaken by Transpower at the request of the Industry Transmission Pricing Project working group. The objective of this work was to determine whether there is an enduring grid characterisation which might support the introduction of a Tilted Postage Stamp (TPS) transmission pricing signal to generators.

The primary conclusions are that:

  1. Under a range of hydrological inflows, future net energy transfers within New Zealand can reasonably be characterised as being from south to north, in all generation scenarios.
  2. The south to north characterisation is persistent over the 30 year period to 2040 considered in this study.
  3. This characterisation is driven by the fact that New Zealand’s largest load centre, Auckland, is expected to continue to be net short of generation (that is, it will be an importer of electricity), and the generation to supply Auckland will be built south of Auckland.
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Tilted Postage Stamp analysis – characterising the grid [3.1MB]