CS Energy worked with Tesla and Downer to deliver the Chinchilla Battery, which is the first operational project in the Kogan Clean Energy Hub.

Related article: Forensic report blames CS Energy for Callide C explosion

The project has undergone a comprehensive commissioning program to test the battery under a range of operating conditions, ensuring it operates safely and reliably.

“Getting the Chinchilla Battery ready for commercial operation has taken a large effort from many people and teams across our entire business, from the team at site who will operate and maintain the asset to our traders in Brisbane who will dispatch its output into the grid,” CS Energy CEO Darren Busine said.

“This project, along with our other projects planned for the Kogan Clean Energy Hub, shows that CS Energy is here for the long term in the Western Downs community.”

Related article: Construction begins on Akaysha’s Brendale Battery

The Chinchilla Battery comprises 80 Tesla Megapack 2 systems. It uses lithium iron phosphate (also known as lithium ferro phosphate [LFP], or LiFePO4) batteries, which are the safest lithium batteries currently available.

Construction contractor Downer spent more than $3 million on suppliers and subcontractors in the Chinchilla and Dalby region during the construction phase.

The post CS Energy switches on Chinchilla Battery in Queensland appeared first on Energy Source & Distribution.

CS Energy commissioned Dr Sean Brady of forensic engineering firm Brady Heywood to review the underlying cause of the 2021 explosion that resulted in major damage to Unit C4, which remains offline.

There were no fatalities, but the incident destroyed Unit C4’s turbine generator and destabilised the Queensland power grid. The explosion initiated a cascading failure of nine major generator units across the state, which caused almost half a million Queensland customers to lose power.

In February, CS Energy released its own report on the technical contributing factors to the Callide Unit C4 incident, saying the explosion was caused by the failure of a battery back-up system at the power station’s C4 unit.

Related article: Callide C4 incident “could not have been anticipated”

CS Energy’s analysis found that the Unit C4 incident was the result of the simultaneous failure of key electrical equipment and system backups in a series of complex events, which it said “could not have been anticipated”.

However, the Brady Heywood report said the key organisational factor that contributed to the incident was a “failure to implement effective process safety practices that would have increased the likelihood of identifying and managing the risks associated with replacing the new Unit C4 battery charger and bringing it into service”.

The Brady Heywood investigation into the causes of the incident was undertaken in two parts: a technical investigation and an organisational investigation. The technical investigation examined the technical causes of the incident, and the organisational investigation examined the organisational factors related to the incident.

CS Energy CEO Darren Busine, who was appointed in July 2023, said the business had continued to take action since the two incidents to progressively improve safety for its people and plant at Callide and its other assets across the state.

“The action plan we are releasing today summarises our actions to date, as well as those underway, to build a safer, better CS Energy,” Busine said.

“Brady Heywood’s technical findings are consistent with CS Energy’s technical report released in February this year.

“Whilst on our reading of the Brady Heywood Report, a lack of maintenance did not cause the incident, we clearly have areas of improvement to ensure we operate and maintain our assets to world class standards.

“The Brady Heywood Report found that more effective process safety practices could have assisted CS Energy in identifying and managing the risks associated with bringing the C4 battery charger into service.”

Busine said CS Energy was committed to becoming a safer, better business.

“There is nothing more important than safety. Our action plan sets out how we will improve our capability to assess, mitigate and control the process safety risks inherent in owning and operating power generation assets,” he said.

“In addition, an Independent Advisory Group, chaired by Adjunct Associate Professor Trevor Love and comprising leading experts in process safety and organisational design, has been established to oversee and support us in executing and updating the plan.

“We are committed to learning from these events and giving our people better systems and tools so that they can do their jobs safely.”

Premier Steven Miles said the Queensland Government would be taking steps to “achieve 100% ownership of the Callide generators”.

“One of the causes Brady points to in his report is confusion over management structures because of that complicated joint venture arrangement, so 100% public ownership is what we think will assist there,” he said.

Related article: Callide C return-to-service date pushed back again

He the government would appoint special advisors to the board of the state-owned corporation “to ensure the government has more direct influence over the direction and to ensure that it has appropriate governance”.

Callide Power Station is comprised of two power plants—Callide B and C—each with two generating units (B1 and B2, C3 and C4).

Callide Energy Pty Ltd owns Callide C in a 50/50 joint venture with IG Power. CS Energy operates Callide C on behalf of the JV.

CS Energy owns 100% of the neighbouring Callide B Power Station.

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On 25 May 2021 an incident occurred on Unit C4 at Callide Power Station that caused extensive damage to the unit and had a significant impact on the transmission network. The power station was safely evacuated and no one was injured.

Related article: Callide C4 incident “could not have been anticipated

CS Energy CEO Darren Busine said the change in date was necessary to provide additional time for testing and quality assurance for safely returning Unit C4 to operation.

“This is the first time in Queensland a major generating unit and its cooling tower have been completely rebuilt and integrated with existing infrastructure,” Busine said.

“It is also nearly 20 years since a new coal-fired generator and cooling tower was put into service in Queensland, which was at Kogan Creek Power Station.

“For many of our people at Callide, this is the first time they have been involved in the commissioning of a new coal-fired generator and they have my full support in taking all the necessary precautions to ensure that C4 is returned to service in a safe and methodical manner.

“While this is a complex and challenging project, we are making good progress. The final electrical rectification works on C4 have been completed and construction of the new C4 cooling tower is progressing to schedule.

“The cooling tower basin has been filled, and cooling water is circulating in preparation for providing the required cooling to support commissioning of C4.”

Callide Power Station is comprised of two power plants, Callide B and C, each with two generating units (B1 and B2, C3 and C4).

Related article: New pultruded cooling towers for Callide

Three of Callide’s four generating units are operational—units B1, B2 and C3 are all generating electricity.

Callide Energy owns Callide C in a 50/50 joint venture with IG Power Limited. CS Energy operates Callide C on behalf of the JV.

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On 25 May 2021 an incident occurred on Unit C4 at Callide Power Station that caused extensive damage to the unit and had a significant impact on the transmission network. The power station was safely evacuated and no one was injured.

Related article: Callide C4 incident “could not have been anticipated”

CS Energy’s analysis found that the Unit C4 incident was the result of the simultaneous failure of key electrical equipment and system backups in a series of complex events that could not have been anticipated.

CS Energy CEO Darren Busine said the change in date was to account for the availability of specialists, and to allow extra time for testing and managing emergent work during the recommissioning of the unit.

“We are being extra diligent and taking all necessary precautions in returning C4 to service—the safety of our people and plant is our priority,” Busine said.

“The change in C4’s return to service date is unrelated to the rebuild of its new cooling tower, which remains on schedule.

“However, the work happening in parallel to recommission Unit C4 has been impacted by the availability of overseas based specialists needed to perform critical work, and additional work that has emerged during the recommissioning process.

“We will return the unit in a staged manner, bringing it online at partial capacity on 22 July and then carry out further testing before gradually returning it to full capacity.”

Busine said the project to re-construct Callide C’s cooling towers and reinstate its two units had been one of the most complex of its kind undertaken in this country in the past 20 years.

“The team at Callide has been put in an extraordinary effort to safely manage a technically and logistically challenging project.”

Related article: New pultruded cooling towers for Callide

Callide Power Station is comprised of two power plants, Callide B and C, each with two generating units (B1 and B2, C3 and C4).

Three of Callide’s four generating units are operational—units B1, B2 and C3 are all generating electricity. Unit C3 was returned to service on 1 April and reached full capacity on 16 April.

The post Callide C4 partial return-to-service date pushed back appeared first on Energy Source & Distribution.

Related article: Callide C4 incident “could not have been anticipated”

IWC Australasia was awarded a contract to design and construct two new pultruded cooling towers with the support of its sub-contractor UGL.

These cooling towers mark an important development for Callide, which is a major generator of electricity for the sunshine state.

The project initiated a transformative phase, demolishing the existing wooden cooling towers and erecting new mechanical draught counter flow cooling towers with a  Glass Reinforced Plastic (GRP) structure. The two IWC cooling towers each comprise 18 cells and stretch over 200m.

Designed in accordance with standards CTI STD-137 and CTI STD-152, these towers offer a host of advantages. Pultruded GRP has emerged as the material of choice for large, field-erected cooling towers due to its extended service life, rapid deployment capabilities, and reduced construction durations. Moreover, these towers exhibit chemical and corrosion resistance, high impact strength, and a remarkable combination of rigidity and lightweight design.

The decision to embrace pultruded technology is not just a leap forward; it’s a strategic move towards sustainability and efficiency. Unlike their wooden counterparts, pultruded cooling towers promise not only long-term reliability but also shorter construction timelines.

After months of hard work and extraordinary effort from the IWC Australasia team and sub-contractors, one of the units at Callide is back in operation and, as the project nears completion, the anticipation for the full restoration of the units has the industry excited.

Related article: AER begins action over Callide C performance standards

With the integration of pultruded cooling towers, the power station is redefining the standards for power infrastructure that will resonate in Australia’s energy landscape for years to come.

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The report summarises the company’s understanding of what happened on Unit C4, based on the work it has conducted with a range of experts, including Aurecon and Dr Sean Brady.

Related article: AER begins action over Callide C performance standards

What happened and why?

On 25 May 2021 an incident occurred on Unit C4 at Callide Power Station that caused extensive damage to the unit and had a significant impact on the transmission network. The power station was safely evacuated and no one was injured.

CS Energy’s analysis found that the Unit C4 incident was the result of the simultaneous failure of key electrical equipment and system backups in a series of complex events
that could not have been anticipated.

What triggered the incident?

On the day of the incident, a new battery charger for the Unit C4 direct current (DC) system had been commissioned and was being connected to Unit C4.

During the connection process, there was a collapse of voltage in the Unit C4 DC system. The new Unit C4 Battery Charger was required to maintain the voltage in the Unit C4 DC system but failed to do so.

What happened when the DC voltage collapsed?

As the voltage in the DC system dropped, it caused the Unit C4 alternating current (AC) system to “trip” (turn off). The loss of AC supply to Unit C4 prevented the recovery of the DC supply to Unit C4.

What impact did this have on Unit C4?

The loss of both the Unit C4 DC supply and Unit C4 AC supply meant that critical systems required forhe safe operation of the turbine generator were unavailable. The loss of DC supply meant Unit C4 also lost its ability to disconnect from the grid and shut down safely.

The turbine tripped and was no longer being driven by steam, but was still connected to the grid. It went from generating electricity, to consuming electricity–a process called
‘motoring’. This resulted in the turbine generator continuing to spin. This, in combination with the loss of critical systems, such as lubrication oil pumps, directly led to the destruction of the turbine generator.

What caused this to happen and what has been done to fix it?

1. Interlocking design prevented battery being connected during switching operation
Callide C Power Station’s original design features an interlocking system so two batteries cannot be connected into the same system. This prevents a battery being connected during switching and limits the reliability of the critical DC supply system to that of the AC supply system. The design of Callide C has been modified so that during switching a battery is always connected to provide necessary redundancy for critical protection circuits.

2. The activation of arc flap protection tripped the AC supply
The loss of DC supply incorrectly triggered arc flap protection, which resulted in the loss of AC supply. This resulted in the loss of turbine oil pumps and prevented the battery charger recovering the DC voltage. The arc flap protection logic has been modified so it will not trip in response to short-term deviations in DC supply (such as that which occurred during the C4 event).

3. Automatic Changeover Switch was not operated
The Unit C4 Automatic Changeover Switch (ACS) is designed to automatically change over DC supply to the standby Station DC system. The ACS did not operate automatically as it was damaged during a dual unit trip event in January 2021.

Following the January event, CS Energy undertook an engineering investigation and worked with the Australian Energy Marker Operator (AEMO) to return the units to full capacity. The actions identified during the investigation into the dual unit trip included a modification to the ACS control circuitry.

At the time of the Unit C4 incident the modification was not yet ready for implementation, but was within the planned timeframe for the modification.

On the day of the incident, the ACS was available for manual operation, but it was not manually operated. Systems to understand the incident were unavailable in the control room and switching personnel exited the switch room as part of the site evacuation to manage personal safety.

The ACS has been modified in two ways:  The preferred position has changed from the Unit Main Switchboard to Station Main Switchboard. This ensures that protection systems are supplied from different batteries, reducing the impact of a single failure.  The control circuitry of the ACS has been modified to increase reliability.

4. Failure of the battery charger to maintain voltage.
The battery charger failed to instantly maintain the DC voltage within the required operating range. CS Energy is replacing the C4 Battery Charger with a unit that has more redundancy, delivering increased reliability, prior to return to service.

Other safety improvements include increasing the redundancy in Callide C’s DC supply by adding another battery/charger system. This involves installing an additional switchboard, battery and battery charger. This modification will be completed prior to the return to service of C4.

Related article: Dr Sean Brady to lead independent investigation into Callide incident

More broadly, other actions taken to improve safety and process safety at CS Energy include:

• Engaging Advisian to assess the condition of plant and equipment at Kogan Creek, Callide C and Callide B power stations and review the effectiveness of CS Energy’s Asset Management Systems. Based on their assessments, CS Energy has incorporated actions into its asset plans.
• CS Energy has invested in additional resources and engineering capability. This includes
  more operators, a dedicated process safety team, and a new Principal Engineer Team with a focus on engineering standards and assurance.
• The company has made improvements to a number of its systems, including incident classification and reporting system and maintenance backlog system, with better oversight and management reporting.

Click here to view an animation explaining the Callide Unit C4 incident.

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Related article: CS Energy revises Callide Unit C3 return to service

Callide Power Trading is the registered market participant for Callide C Power Station. Callide Power Trading is owned 50% by IGPC and 50% by Callide Energy—a subsidiary of CS Energy.

On the afternoon of 25 May 2021, an incident occurred involving the trip of multiple generators and high voltage transmission lines in Queensland following an initial event at the Callide C power station. This resulted in the loss of approximately 3,045MW of generation and 2,300MW of customer load being disconnected from the power system, resulting in widespread blackouts to households and businesses across Queensland.

After investigating, the AER alleges Callide Power Trading breached rule 4.15(a)(1) and clause 5.2.5(a)(1) of the National Electricity Rules in respect of the Callide C4 generating unit by failing to ensure its plant met or exceeded applicable performance standards, and by failing to plan and design its facilities and ensure they were operated to comply with those performance standards.

The failure of Callide C4’s protection systems to disconnect the generating unit from the power system resulted in the trip of multiple generators. Callide C4 has been offline since the incident.

AER Board Member Justin Oliver said, “Performance standards describe how a generating unit should perform and how it should respond to adverse events. These standards are agreed between the Registered Participant and the Australian Energy Market Operator.

“Failure to comply with these standards can risk power system security, see consumers disconnected from power supply and cause wholesale energy prices to increase during and beyond these events.”

“It’s vital that Registered Participants and Generators are aware of their performance standards and comply with them at all times so that the market and consumers aren’t wrongly exposed to the consequences of adverse events,” Oliver said.

The AER is seeking pecuniary penalties, declarations, orders for remedying the breach or preventing the recurrence of the breach, and costs.

A Callide Power Trading spokesperson said, “The AER’s proceedings allege two contraventions of the National Electricity Rules in relation to CPT’s compliance with the Callide C4 Generator Performance Standards in connection with the catastrophic failure of that generator on 25 May 2021.

Related article: Dr Sean Brady to lead independent investigation into Callide incident

“Callide Power Trading Pty Ltd will work co-operatively with the Australian Energy Regulator to resolve this matter as soon as possible.”

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Related article: CS Energy partners with Powerlink for 400MWh big battery

The huge transformer was transported just over 61km from Port of Brisbane to Greenbank on two twelve-axle trailers. It was pushed an pulled by two prime movers on a total of 232 wheels.

The transformer, with a total operational weight is the equivalent of roughly eight Boeing 737 jets, will convert high-voltage electricity to a lower voltage to charge the battery, then send electricity on to customers across South East Queensland.

The Greenbank Substation site was chosen for its strategic location on Powerlink’s transmission network. A battery at this location will allow Powerlink to increase the network capability by ensuring a reliable supply of high-voltage electricity is maintained to South East Queensland.

Powerlink signed an agreement with CS Energy to install a grid-scale battery at Powerlink’s existing Greenbank Substation.

As part of this work, Powerlink will be connecting the 200MW/400WMh battery to the Greenbank Substation, which supplies electricity to South East Queensland—in particular the Gold Coast, Logan and South Brisbane areas.

The battery will have capacity to power 28,000 homes for two hours before needing to recharge.

Related article: Convoy carries massive transformer to EnergyConnect site

This is Australia’s first truly cooperative BESS utilisation and optimisation scheme, partnering a transmission network provider with a generation and retail business.

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There is no change to the forecast dates for Unit C3’s return to full capacity or the return to service dates for C4.

Related article: Return to service delays for Callide C generating units

CS Energy is rebuilding the two Callide C cooling towers to enable the safe return to service of Callide C Power Station.

CS Energy CEO Darren Busine said the shift in Unit C3’s partial return to service reflected the impact of recent rain and hot weather, resourcing challenges, including illness and COVID-19 at site, and global supply chain issues. This includes some of the assigned freight carriers being diverted to assist with humanitarian efforts in the Gaza War and domestic issues in India which have impacted the scheduling and delivery of materials.

Busine said significant progress has been made on the construction of the new C3 cooling tower, with approximately 165,000 hours worked on site which is equivalent to more than double the standard site workforce.

“We prioritised the Unit C3 cooling tower as the first of the new cooling towers to be built and there has been an unprecedented level of activity at site to make this happen,” he said.

“Approximately 300 people are working around the clock, seven days a week on site and a logistics specialist has coordinated the movement of more than 1,000 tonnes of freight from all corners of the world.

“In parallel to the construction activity, CS Energy is working through a commissioning program for Unit C3. This will involve a series of tests, including briefly running the unit at low loads to support its partial return on 24 January.

Related article: CS Energy completes bulk of rebuild on Unit C4 at Callide

“This is a highly complex and unique project, and I would like to acknowledge the efforts of eveyone involved to progress the works to this stage.

“Our first priority is the safety of our people and plant. I would like to reassure Queenslanders that we are doing everything we can to have the unit back online as soon as possible.”

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Related article: CS Energy makes 50% investment in first wind project

Thanks to partnership led by publicly owned energy company, CS Energy, GE Vernova will supply hydrogen-ready peaking generation units, in a move that will decrease Queensland’s reliance on fossil gas.

CS Energy signed an agreement with the global energy leader for the supply of the key equipment for the Brigalow Peaking Power Plant equipment, to be rolled out at the future Kogan Creek Clean Energy Hub in the Western Downs.

The peaking plant will initially be capable of operating on 35% renewable hydrogen, with a pathway to 100% hydrogen over time. The open-cycle power station will have fast-start capability and the ability to operate in high demand periods to support variable solar and wind energy. With a capacity of 400MW, it will be able to power more than 75,000 homes during peak demand periods.

The power station is scheduled to be operational in 2026, subject to final approvals.

CS Energy CEO Darren Busine said, “CS Energy is committed to securing a balanced mix of energy sources that can meet our customers’ decarbonisation requirements and support the delivery of the Queensland Energy and Jobs Plan.

“The open-cycle design of the Brigalow Peaking Power Plant provides the ability for multiple start/stop cycles per day and the ability to ramp up to full power output within five minutes.

“This project is an example of how we are creating clean energy hubs at our power stations to deliver the energy mix needed to reliably transition the grid to renewable energy while also providing opportunities for our workforce to reskill.”

GE Vernova Gas Power President and CEO Eric Gray said, “We are honored to be considered to provide our highly efficient and flexible gas turbine technology for this project to supply homes and businesses in Queensland with affordable, reliable and sustainable electricity.”

Related article: Govt injects $69m into Central Queensland Hydrogen Hub

A peaking power plant is a reliable source of fast power to provide sustained power output during peak demand periods. This is important in helping to address the variability of renewable energy generation and provide firm capacity to the grid, which means more dependable and consistent electricity supply to customers.

The post CS Energy and GE partner for hydrogen-ready power plant appeared first on Energy Source & Distribution.

Related article: CS Energy makes 50% investment in first wind project

The alleged breach was discovered as part of the AER’s ongoing investigation into the power system event involving the trip of multiple generators and high-voltage transmission lines in Queensland following an initial plant issue at the Callide C Power Station on 25 May 2021.

This alleged breach is distinct from the AER’s ongoing investigation into the events that led to the 25 May 2021 power system event.

Any entity that owns, controls or operates an electricity generator must apply to the Australian Energy Market Operator (AEMO) to be a Registered Participant for the activity or for an exemption from registration.

It’s alleged CS Energy breached section 11(1) of the Electricity Law by operating the Callide C Power Station without being a Registered Participant or having an exemption from registration. CS Energy has been operating Callide C Power Station for a number of years, including on 24 May 2021, but only submitted an application for exemption following the AER’s investigation.

CS Energy subsequently obtained this exemption in September 2023.

AER Board Member Justin Oliver said, “Failure to obtain the appropriate registration and exemptions can impede AEMO’s ability to track changes in the control or operation of a generating system.

“This reduced visibility could cause operational issues for AEMO including its ability to contact the appropriate staff that are responsible for the operation of generating systems to raise important matters including compliance issues and activities.”

CS Energy CEO Darren Busine said CS Energy took its responsibilities under the NEL extremely seriously and had worked cooperatively with the Australian Energy Regulator to resolve the matter.

“Due to an apparent historical oversight, CS Energy did not hold the required exemption from registration as the operator of Callide C,” Busine said.

“We acted promptly to seek the required exemption as soon as the oversight was brought to our attention.

Related article: CS Energy completes bulk of rebuild on Unit C4 at Callide

“We are unaware of any impact caused to consumers or other market participants as a consequence of us not holding the relevant exemption.”

The incident that occurred on Callide Unit C4 in May 2021 was unrelated to CS Energy not holding the relevant exemption at the time.

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Related article: Moah Creek Wind Farm marks key development milestones

The news was announced by Queensland Premier Annastacia Palaszczuk, who said the project would deliver another 228MW of renewable power to the state’s SuperGrid.

CS Energy received $312 million in the 2023-24 state budget to invest in Central Queensland wind farms and large-scale battery storage.

Queensland Energy Minister Mick de Brenni said the investment was part of the broader push to transition state-owned generators away from fossil fuels and into renewable energy.

CS Energy owns two of Queensland’s coal-fired power stations—Kogan Creek near Chinchilla and Callide Power Station at Mount Murchison.

The proposed Boulder Creek Wind Farm will be located 40km south-west of Rockhampton and approximately 5km west of Mount Morgan in Central Queensland.

Related article: Octopus snaps up Queensland’s largest proposed battery

The project is being developed by Macquarie’s Green Investment Group and is expected to comprise up to 60 wind turbines.

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Related article: CS Energy CEO Andrew Bills moves to SA Power Networks

Busine was most recently CS Energy’s executive general manager energy markets, technology and commercial, and has more than two decades’ experience in the Queensland energy sector, including previous senior leadership roles at Energex and Ergon Energy.

CS Energy xhair Adam Aspinall said Busine’s appointment came at an important time for CS Energy as it focusses on the safe and timely return to service of the joint venture owned Callide C Power Station in Central Queensland.

“Darren brings to the role a deep understanding of CS Energy’s business and the dynamic energy market it operates in,” Aspinall said.

“He has played a key role in the business diversifying into renewable energy and delivering customer-focused retail energy solutions for some of Queensland’s largest organisations.

“The CS Energy Board has appointed him following a rigorous, open market recruitment process.

“The Board is confident that Darren will lead CS Energy to deliver the reliable and affordable energy that Queenslanders expect and deserve.

“I’m particularly looking forward to working closely with Darren to safely return the Callide C units to service and to deliver improved reliable operation from the Callide B and Kogan Creek power stations.

Related article: CS Energy completes bulk of rebuild on Unit C4 at Callide

“I would like to thank Interim CEO Andrew Varvari for his commitment and leadership in guiding the business through its recent challenges.”

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FCAS helps manage the stability of the power system and therefore prevent disruption of electricity supply to customers, in this case, Queensland customers.

CS Energy has also repaid $1.13 million to the Australian Energy Market Operator (AEMO) it received as payment to provide the services. The Australian Energy Regulator (AER) requested CS Energy to make this repayment because it was not capable of complying with the FCAS offers it submitted to AEMO.

AER Chair Clare Savage said it was a basic principle that businesses should not keep payment for services they are unable to deliver in line with their offers.

“Inaccurate information about FCAS offers undermines AEMO’s ability to manage frequency deviations that is critical to supporting the integrity of the power grid,” Ms Savage said.

“CS Energy and other FCAS providers must have robust systems and processes in place to ensure it is at all times able to comply with its FCAS offers and that customers pay only for services that are provided.

Related article: United Energy installs new EDF technology

“The AER will continue to monitor FCAS providers and take action against businesses who do not comply with these crucial obligations.”

CS Energy allegedly failed to ensure it was at all times able to comply with its contingency FCAS offers at certain units at Callide B power station on August 25, 2018 and Gladstone power station in November 2019 and January 2020. 

CS Energy was not capable of complying with its offers due to settings at certain units at the power station, says the AER.

CS Energy has made changes to its processes and systems so that it does not make offers for contingency FCAS at Callide B and Gladstone power stations when these settings are in place.

CS Energy says it self-reported the matter to the regulator, and has been working cooperatively to improve its compliance.

“CS Energy self-reported to the AER instances where it had offered contingency FCAS to the market that were not fully delivered in accordance with the market operator’s technical specifications,” the company said in a statement.

Related article: First SPS on the WA metro network

“The self-reporting related to instances on August 25, 2018 (from Callide Power Station Unit B2) and on several occasions between November 2019 and January 2020 (from Gladstone Power Station Unit 1).

CS Energy CEO Andrew Bills said CS Energy worked hard to be a responsible and compliant market participant, and was extremely disappointed that the incidents relating to the Callide and Gladstone power stations had occurred.

“Consistent with our values, CS Energy self-reported these matters to the AER and has co-operated with the AER in a transparent manner throughout its investigations,” Mr Bills said.

“We believe that market regulation is working as it is designed and that CS Energy has acted safely and with integrity for the benefit of the power system as a whole.”

Mr Bills said the FCAS non-compliances occurred due to a combination of systems and human error, and did not impact system stability.

“CS Energy has since improved its systems, processes and training in response to these events and has implemented remedial actions to minimise the risk of these or other issues arising again.”

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