Transpower has developed a Grid Support Contract (GSC) Product. GSCs will assist Transpower to manage risks resulting from any construction delays, higher than forecast demand growth or major asset failure, and to defer some transmission investment under certain conditions. The scope includes consideration of all forms of non-transmission options including large and small generation and both aggregated and distributed demand side participation (DSP).
To learn more about the DSP dimension of GSCs, Transpower carried out a trial in the Upper South Island in 2007 and 2008.
Information gained in this trial was used in the development of the GSC product.
Consultation on Grid Support Contracts began in December 2008 with workshops in Christchurch and Wellington and the release of the Grid Support Contracts Discussion Paper.