Renewable Energy Handbook 2010 - Department of Finance - The ...

4TABLE OF CONTENTSOFFICE OF ENERGYRENEWABLE ENERGY HANDBOOK 2010Table Of Contents1.1 PURPOSE OF THE HANDBOOK 91.1.1 Introduction 91.1.2 How to use this Hanbook 91.1.3 History of Renewable Energy in Western Australia 101.1.4 Renewable Energy Policy Context 101.2 WHY RENEWABLE ENERGY IN WESTERN AUSTRALIA? 121.2.1 Electricity Generation from Renewable Energy in Western Australia 121.2.2 Benefi ts to Western Australia 13GEOTHERMAL CASE STUDY: WA GEOTHERMAL CENTRE OF EXCELLENCE 1402 RENEWABLE ENERGY AND THE ELECTRICITY MARKET IN WESTERN AUSTRALIA 152.1 INTRODUCTION 162.1.1 Background – Closed Market 162.1.2 Western Australia’s Electricity Reform 162.1.3 Market Power Mitigation Measures 162.2 THE WHOLESALE ELECTRICITY MARKET 172.2.1 Introduction 172.2.2 Independent Market Operator 172.2.3 Wholesale Bilateral Contracts 172.2.4 The Short-Term Energy Market 172.2.5 Balancing 182.2.6 The Reserve Capacity Mechanism 182.2.7 Security Services – Spinning Reserve 182.2.8 Opportunities for Renewable Energy Generators 182.3 WESTERN AUSTRALIA’S ELECTRICITY NETWORK INFRASTRUCTURE 192.3.1 Introduction 192.3.2 Governance of Electricity Networks in Western Australia 202.3.3 Western Australia’s Electricity Network Operator 202.3.4 System Voltage and Frequency Control and Renewable Energy 212.4 MARKET INCENTIVES 212.4.1 State Government Support 212.4.2 National Support 222.4.3 Carbon Pollution Reduce Scheme 222.4.4 Expanded National Renewable Energy Target 222.4.5 GreenPower Program 23WAVE CASE STUDY: CARNEGIE WAVE ENERGY LIMITED 232.5 LEGISLATIVE FRAMEWORK 242.5.1 Introduction 242.5.2 State Government Legislation 242.5.3 State Regulatory and Governing bodies 252.5.4 Commonwealth Legislation 2603 DEVELOPING A RENEWABLE ENERGY PROJECT IN WESTERN AUSTRALIA 273.1 OVERVIEW OF THE DEVELOPMENT PROCESS 283.1.1 Introduction 283.1.2 Exploration of Options 283.1.3 Feasibility Study 283.1.4 Project Design 313.1.5 Implementation and Operation 313.2 HERITAGE APPROVAL 313.2.1 Introduction 313.2.2 State Processes 313.2.3 Commonwealth Process 32