Dr. Pettitt questions the government's intention to seek capital contributions for SWIS expansion, particularly regarding the impact on renewable energy investment. The government's response indicates ongoing development of charging arrangements and future stakeholder consultation.

AnsweredQoN 1562Legislative Council
Asked
27 November 2024
Portfolio
Energy

QuestionView source ↗

SOUTH WEST
INTERCONNECTED SYSTEM — EXPANSION
1562. Hon Dr BRAD PETTITT to the parliamentary secretary
representing the Minister for Energy:
I refer to the media statement of 4 October
2023, ''WA Government seeks interest on industry decarbonisation plans'',
and the WA government seeking submissions from industrial customers on their
willingness to contribute to the cost of building on the south west integrated
system transmission expansion, network augmentation and connection costs of
about $100 000 a megawatt.
(1) Does the
government still intend to seek capital contributions of around $100 000 a megawatt
for new transmission network connections?
(2) If yes to
(1), from which date will this apply?
(3) Were industry
stakeholders, generators and customers in support of the proposal?
(4) Will the
capital contribution offset transmission use system charges or other fees and
system charges?
(5) If no to (4),
how does the WA government intend to ensure that this contribution does not act
as a new tax and thus a disincentive to new renewable energy investment on the
SWIS?

AnswerView source ↗

I thank the honourable member for
some notice of the question. On behalf of the Minister for Energy, I provide
the following answer.
(1) The WA
government is working through the charging arrangements to underpin the
delivery of expanding the transmission network in the south west interconnected
system.
(2) See response to part (1).
(3) Western Power has consulted with generation and
storage proponents in the past and there was a willingness to pay for
their proportion of new transmission network. Any changes to the capital
contributions policy would require regulatory changes and stakeholders would be
further consulted during this process.
(4)–(5) See response to part
(1).

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