❓ Dr. Nahan questions Western Power's capital requirements and funding allocation for network upgrades in specific regions. The response details planned expenditures and funding sources, highlighting customer-driven projects and renewable energy initiatives.
AnsweredQoN 5149Legislative Assembly
QuestionView source ↗
I refer to Western Power's 2018-19 Statement of Corporate Intent which states "there are still areas of the network where demand projections exceed current network capacity, or an expansion is required to support large customer initiated projects", and I ask,: (a) What is Western Power's estimated total capital, requirement from 2018-19 to 2021-22 to address these issues in the following areas: (i) North Country; (ii) Mandurah and Bunbury; (iii) Western Terminal; and (iv) East Perth and CBD; and (b) How much funding has been allocated from 2018-19 to 2021-22 to address the issues identified above for each of the following areas: (i) North Country; (ii) Mandurah and Bunbury; (iii) Western Terminal; and (iv) East Perth and CBD?
AnswerView source ↗
Answered
11 June 2019
Responded by
Minister for Energy
Response time
8 days
(a) In the Statement of Corporate Intent a figure of $315M was mentioned to fund growth related projects during 2018-19. Approximately 78% of this figure is represented by customer driven projects including new generation, new load, subdivisions, businesses, etc. connecting to our network. A third of all growth spend relates to small projects which are not forecast on a regional basis.
In terms of the 4-year period 2018-19 to 2021-22 Western Power’s regulatory submission provided for $1.3B to fund growth related projects. Of this figure, ~$0.9B was represented by smaller projects and gifted assets, neither of which are specifically forecast on a regional basis. The balance of $0.4B was represented by major customer projects and network growth driven projects. Since the completion of the regulatory submission the mix of growth projects between customer driven and network driven has shifted such that more than half of the project spend over the period in question is represented by major customer projects, primarily renewable generators (previously representing a quarter).
With respect to the regions listed at (i) to (iv), Western Power’s latest plans involve the following more significant projects:
Load Area
Growth related activities forecast from 2018-19 to 2021-22
~$M
North Country
A number of renewable generation projects (windfarm /solar) with a combined spend over the four-year period
100
Mandurah & Bunbury
Minor distribution feeder reinforcement projects creating additional capacity
6
Western Terminal
Underground existing overhead distribution network driven by local council requests
24
CBD & East Perth
As part of the overarching CBD strategy:
And; connect major commercial customers to the CBD network.
44
In addition to the projects listed above, as part of this category there are also significant projects under development in these and other load areas not forming part of the question raised in parliament.
(b) The expenditure outlined in (a) is fully funded within Western Power’s state budget over the forward estimate period with the majority of the investment funded by customers (upfront &/or via incremental revenue).
In terms of the 4-year period 2018-19 to 2021-22 Western Power’s regulatory submission provided for $1.3B to fund growth related projects. Of this figure, ~$0.9B was represented by smaller projects and gifted assets, neither of which are specifically forecast on a regional basis. The balance of $0.4B was represented by major customer projects and network growth driven projects. Since the completion of the regulatory submission the mix of growth projects between customer driven and network driven has shifted such that more than half of the project spend over the period in question is represented by major customer projects, primarily renewable generators (previously representing a quarter).
With respect to the regions listed at (i) to (iv), Western Power’s latest plans involve the following more significant projects:
Load Area
Growth related activities forecast from 2018-19 to 2021-22
~$M
North Country
A number of renewable generation projects (windfarm /solar) with a combined spend over the four-year period
100
Mandurah & Bunbury
Minor distribution feeder reinforcement projects creating additional capacity
6
Western Terminal
Underground existing overhead distribution network driven by local council requests
24
CBD & East Perth
As part of the overarching CBD strategy:
And; connect major commercial customers to the CBD network.
44
In addition to the projects listed above, as part of this category there are also significant projects under development in these and other load areas not forming part of the question raised in parliament.
(b) The expenditure outlined in (a) is fully funded within Western Power’s state budget over the forward estimate period with the majority of the investment funded by customers (upfront &/or via incremental revenue).
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