Question regarding the cost, maintenance, and business case for micro power systems installed for Esperance farmers, and the prior maintenance of existing powerlines. The answer provides some figures but withholds commercially sensitive information.

AnsweredQoN 4886Legislative Assembly
Asked
13 March 2019
Portfolio
Energy

QuestionView source ↗

I refer to the Minister's media release dated 5 March 2019 titled "Reliable, safe Micro Power Systems for Esperance farmers" and I ask: (a) What is the forecast total cost of the installation of the 13 micro power systems; (b) What is the forecast annual maintenance cost of the 13 micro power systems; (c) What is the expected price per kilowatt hour for the units; (d) Has Horizon Power spent any money on the 54km of powerlines in the last 5 years; (e) If yes to (c), how much has been spent and what was the reason for the expenditure; (f) What was the anticipated useful life of these powerlines; (g) Did Horizon power have any planned expenditure on these powerlines and if so, what was the forecast expenditure and when was the expenditure forecast to take place; (h) Did Horizon Power prepare a business case for the installation of the 13 micro power systems? If not, why not; and (i) If yes to (h), will the Minister table the business case? If not, why not?

AnswerView source ↗

Answered
7 May 2019
Responded by
Minister for Energy
Response time
11 days
(a) Under the terms of the contract with the provider of the micro power systems, Horizon Power cannot release the forecast total cost to external parties. Release of this information to external parties would be considered a breach in contract.
(b) $36,230
(c) Due to the unique nature of energy supply from each installation and variable consumption patterns by individual customers, the energy cost per kilowatt hour cannot be calculated.
(d) Yes
(e) $437,565. Typical activities include inspections, conductor maintenance and repairs, pole maintenance and reinforcement, pole replacements, fault response and vegetation management.
(f) Up to 3 years, dependent on the segment of line.
(g) Yes. Horizon Power planned to refurbish the line in a staged approach over the next three financial years at a total capital cost of $1,490,071.
(h) Yes
(i) No, the business case considers opportunities more broadly than the 13 micro power systems being deployed in Esperance and therefore contains commercially sensitive information which if released would jeopardise the commercial position of Horizon Power and its agents.

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