AEMO’s National Value of Customer Reliability (VCR) Review’s Statement of Approach paper outlines our decision to pursue the following as a result of consultation undertaken:
- Deliver VCRs nationally for four different customer categories (including different sector types).
- Be able to produce VCRs at the transmission node level in the NEM , including specifying a methodology for businesses themselves to calculate the VCR at the transmission node level.
- Develop VCRs that incorporate a number of attributes to account for uncertainty. This includes outage duration, severity and time of day.
- Conduct a survey based on choice modelling and validate using contingent valuation questions to obtain VCRs.
The Statement of Approach is complemented by a paper provided by the consultant AEMO engaged for this review, Professor Riccardo Scarpa. The accompanying paper further details the methodology and approach that will be deployed to calculate the VCRs.
AEMO thanks all those who provided their feedback and time to meet during the consultation process. We will continue to engage with stakeholders throughout the remainder of the review.
| Value of Customer Reliability Statement of Approach 11 November 2013 | filesize: 670 KB (.pdf) |
| Methodology Paper 11 November 2013 | filesize: 458 KB (.pdf) |
Please also refer to the below papers.