Economic Islands

Economic Islands appear when there are interconnector constraints. Red outlines appear around regions to indicate what Economic Islands are currently at work. In the image above three Economic Islands have formed: Queensland, New South Wales + Victoria + South Australia, Tasmania. You can clearly see the price separation that occurs when Economic Islands are present. The price for the Queensland Economic Island is $49.05, the price for the New South Wales + Victoria + South Australia Economic Island is around $24 and the price for the Tasmania Economic Island is $48.26.

A box appears when Economic Islands are present to help explain what is happening in each Economic Island. The box indicates the demand, available generation and instantaneous reserve plant margin for each Economic Island.