Snowtown Wind Farm Stage 2 fined $1m by Federal Court over contraventions linked to 2016 statewide blackout

A Snowtown wind farm has become the first power producer fined for mistakes that contributed to the 2016 statewide blackout.

A Snowtown wind farm has been fined more than a million dollars for turbine failures linked to the 2016 statewide blackout.

On September 28 of that year, as storms toppled power pylons in the Mid North, 34 of the 37 turbines operated by Snowtown Wind Farm Stage 2 shut down.

On Tuesday, the Federal Court held that the failure of the turbines was associated with the rolling statewide blackout and that the contravention which led to the shutdown had been present for 1126 days.

The fine is the first of its kind to be handed down to an energy company as part of a suite of lawsuits brought by the Australian Energy Regulator.

The wind farm breached its obligation to have an approved protection system in place on each of its turbines which would kick in if there was a fault or other voltage disturbance.

The systems are designed to cope with abnormal voltage without completely shutting down.

As part of the national energy grid, the wind farm was required to be able to “ride through” any sudden changes by being able to operate continuously and uninterrupted.

The Snowtown turbines were equipped with the system, but they had not been checked and accredited by ElectraNet, which operates South Australia’s power transmission network.

The September, 28, 2016, blackout caused chaos across the state. Picture: David Mariuz/AAP

Brisbane visitor Dana Holden at the corner of King William St and Rundle Mall during the unprecedented statewide blackout in 2016. Picture: Kelly Barnes/The Australian

The systems which were present were set to a lower threshold than was advised, meaning they would trip sooner if there was a fluctuation.

The Australian Energy Market Operator, which is responsible for maintaining power system security, is required to assume that wind farms like Snowtown are able to function if there is a sudden change.

On September 28, there were six sudden fluctuations of power recorded by the protective systems in 90 seconds.

The result was that the unapproved systems tripped and shut down 34 of the turbines.

“This was associated with the widespread electricity blackout which occurred in South Australia on that day,” Justice Richard White said.

“However, (the company) has not admitted that the turbines ceasing to supply active power constituted a contravention or that the cessation was caused by the contravention which it has admitted.”

The blackout was caused by wild weather which tore across the state, knocking down 22 power pylons and causing a cascading electricity event which shut down wind farms and tripped the interconnector to Victoria. Blyth was one of the areas hardest hit by the storm. Picture: David Mariuz/AAP

The enduring image of the blackout was of twisted power pylons toppled by high winds near Melrose on September 28, 2016. Picture: Debbie Prosser/AFP

It was agreed in the Federal Court that international wind turbine supplier Siemens had designed, supplied and installed most of the wind farm.

Snowtown Wind Farm Stage 2 was unaware that the settings on the turbines had not been signed off by ElectraNet or the national operator until after the blackout.

Justice White said that the contraventions had not been “intentional or reckless”.

However, he also said that the company had not assessed its own protections systems in the three years since the turbines had been installed.

The maximum penalty for not having the approved protection system was $10,000 a day.

As the contravention lasted for a little over three years, the company was left facing a maximum fine of $11,360,000.

Justice White fined the company $1 million as well as $100,000 in costs and ordered it to recruit a compliance expert to evaluate their procedures.

The Australian Energy Regulator is continuing lawsuits in the Federal Court against HWF 1 Pty Ltd, Pacific Hydro Clements Gap Pty Ltd and AGL HP 1 Pty Ltd, all of which run wind farms in South Australia.