AEMO to launch Australia’s first energy resources database
Share

ElectraNet has requested that the AER assess its “SA Energy Transformation” proposal to see if it stacks up against a cost-benefit analysis.

ElectraNet’s Regulatory Investment Test for Transmission (RIT-T) explored options for reducing the cost of providing secure and reliable electricity to SA in the near term, while facilitating the longer-term transition of the energy sector across the National Electricity Market.

ElectraNet released its final RIT-T report on 13 February 2019, which identified its preferred investment to build a new 330 kV interconnector between Robertstown in mid-north SA and Wagga Wagga in NSW, via Buronga and with an augmentation between Buronga and Red Cliffs.

On 5 June 2019, the AER commenced the formal process under clause 5.16.6 of the National Electricity Rules (NER) to consider ElectraNet’s request to determine whether the interconnector satisfies the RIT-T cost-benefit analysis. 

The formal process commenced after the AER finalised a dispute on whether ElectraNet’s RIT-T had inadequately considered the consequences of system security risks. 

The AER found that ElectraNet’s RIT-T was compliant specifically on the matters raised in the dispute notice, but the next step would be to consider whether the interconnector meets the broader requirements of the RIT-T cost-benefit analysis.

Under clause 5.16.6 of the NER, the AER has no more than 120 business days to make a determination, subject to requests for further information. The AER expects to make a determination by no later than the fourth quarter of 2019.

An AER determination that ElectraNet’s proposed investment satisfies the requirements of the RIT-T is required before it can make a contingent project decision to amend ElectraNet’s 2018-23 revenue determination and TransGrid’s 2018-23 revenue determination to account for the costs of the project in SA and NSW.

0 Comments

Leave a reply

Your email address will not be published. Required fields are marked *

*

©2020 Energymagazine. All rights reserved

CONTACT US

We're not around right now. But you can send us an email and we'll get back to you, asap.

Sending

Log in with your credentials

Forgot your details?