To begin, read the latest information about frequency keeping on our About Ancillary Services webpage, and consult the Essential Documents webpage for further details including:
- rules and regulations
- historical and real-time data
- performance testing
- trading and dispatch
- draft contract terms and schedules.
Ensure you do your research before beginning the journey to offering this service, as it is your responsibility to meet your obligations under the Electricity Industry Participation Code.
Read through the rest of the process as it will be efficient to plan and carry out some of the activities in parallel.
If you are about to engage the System Operator to begin the generation commissioning process, you can start that process and indicate that you intend to offer this ancillary service using the generation commissioning initiation form.
Once you have expressed your interest in providing multiple frequency keeping, you need to prove your eligibility through three parallel workstreams. As you are commissioning this ancillary service as part of connecting your generation or battery to the power system, you will already be familiar with much of the work required, which is covered in Workstreams B and C of the Generation Connection Guide. Refer to the information below for a summary of the activities that are specific to the ancillary service.
Ensure you begin each stream of activity promptly as there are some long-lead items involved.
Operational Data Integration
The purpose of this workstream is to set up systems to exchange real-time data between your asset and Transpower. This process is captured on our Operational Data Integration webpage and begins with the submission of a service request via this form.
As part of this workstream, you must also set up network connectivity, and that may involve setting up new infrastructure to sustain the data exchange between your generating asset or battery’s and Transpower’s control rooms. Building this infrastructure takes significant time, so ensure you begin this early.
Another key decision to make early on is what dispatch system you will use: either inter-control centre protocol (ICCP) or Web Services. Whichever you choose, you must set it up and test it accordingly. Note that you need to use ICCP for exchanging real-time operational data with Transpower, so most asset owners in this situation opt for using ICCP for dispatch as well.
You will also need to provide data to model your asset in the multiple frequency keeping application within both your and the System Operator’s SCADA systems and exchange frequent regulating instructions. Other important activities include:
- confirming your dataset of measurements, indications, and dispatch tags
- testing the connectivity.
You must also make facilities and personnel available to always receive voice communications from the System Operator.
Market Registration
You must register with the Electricity Authority as a market participant, including for the role of ancillary service agent, and you will need apply for a unique participant identifier. You should complete this process at least 6 months prior to commissioning generation, especially if you plan to test ancillary service capability during the commissioning period.
In order to upload offers, you must either appoint a trading agent to manage the submission of offers (as specified in Standard Terms Part B), or have a tool capable of submitting offers such as NZX’s wholesale information and trading system (WITS) platform. You must set up WITS at least 2 months before the commissioning period.
Ensure you also complete NZX’s new participant onboarding to be set up as a trader in WITS, which enables clearing and reconciliation support as part of NZX’s market operations services.
Capability Demonstration
To demonstrate that your generating asset or battery can provide multiple frequency keeping services, you must test its performance. Monitoring equipment must also be tested to meet performance standards. While you partake in the generation commissioning process, ensure you:
- collaborate with the ancillary services subject experts during project meetings
- indicate your intention to test this ancillary service in the Code commissioning plan
- develop an engineering methodology that includes frequency keeping testing
- submit operational test plans for the above testing in the specified time frame.
Most asset owners testing ancillary services carry out this testing as part of the relevant commissioning generation test sequence – and you cannot begin this until you have completed the Operational Data Integration and Market Registration workstreams.
Once you have undergone testing (and retested after failures or changes), you must submit your test results for review to the System Operator. We will review them to assess your asset’s capability.
All offers in the wholesale electricity market must be made ahead of time and cover the next 72 half-hour trading periods (36 hours). You must ensure the offers are accurate and in accordance with Code obligations. The New Zealand electricity market dispatches on merit according to offer and does not provide for unconstrained dispatch.
During the contractual period of your service provision, you will need to submit compliance data and participate in incident investigations at the request of the System Operator. It may also be necessary to renew or update certain contract or performance certifications.
As indicated in your contract, you will also need to routinely test your system. Liaise with the System Operator and the ancillary services subject experts to co-ordinate this. It will involve a similar pattern of activities to the Capability Demonstration workstream above:
- submit operational test plans (where applicable) on time
- undergo testing
- submit test results for review.
You might also like to participate in System Operator consultations (for example, related to updating the Procurement Plan) or engage with Authority-led market and policy reforms.
If you wish to upgrade or modify the capability of your generating asset or battery, consult the System Operator. If the upgrade alters your asset’s performance, you may need to undertake some of the steps above again.