Energy storage systems as instantaneous reserve

Batteries as instantaneous reserve

Upcoming Open Closed Decision

View submissions Submissions closed 6 May 2021

Consultation

Grid-scale batteries participate in the wholesale electricity market as either generation and/or dispatchable demand. However, batteries cannot offer instantaneous reserve because the Code is technology-specific and does not provide suitable procurement arrangements for batteries.

Increasing the amount of instantaneous reserve in the market is good for competition and enhances the capacity of the grid to securely and reliably transmit electricity around the grid and between the North and South islands.

This consultation is on a Code change which will enable batteries to be offered into the reserves market as instantaneous reserves. This will help provide a reliable supply of electricity to consumers from renewable sources that will help with New Zealand's transition to a low-emissions economy.