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ANNUAL PLANNING REPORT 2017 T 13 10 87 TTY 1800 13 13 51 TIS 13 14 50 F (08) 9225 2660 E [email protected] 1

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ANNUAL PLANNING REPORT 2017 T 13 10 87 TTY 1800 13 13 51 TIS 13 14 50 F (08) 9225 2660 E Enquiry@Westernpower.Com.Au 1 03 | The Electron - Shapes and sizes section | 01 To create a new electron is quite a process and can take some time so we have created a variety of ‘o the shelve’ electrons for your quick use. Annual Planning Report 2017 These are available in ai or png artwork files for artwork use. © 2017 Electricity Networks Corporation, trading as Western Power ABN 18 540 492 861 WESTERN POWER Contact details: CONTENTS ANNUAL PLANNING REPORT 2017 T 13 10 87 TTY 1800 13 13 51 TIS 13 14 50 F (08) 9225 2660 E [email protected] 1. INTRODUCTION 2 6.11 Southern terminal load area 57 W westernpower.com.au 1.1 Our role 2 6.12 South Fremantle load area 60 1.2 About the Annual Planning Report 2 6.13 Cannington load area 63 1.3 Interaction with the Electricity Statement of 3 6.14 East Perth and CBD load area 66 Opportunities 6.15 Western Terminal load area 69 1.4 Structure of the 2017 APR 3 6.16 Guildford load area 72 1.5 Invitation to provide feedback 3 6.17 Neerabup Terminal load area 74 6.18 Northern Terminal load area 77 2. PLANNING CONSIDERATIONS 4 6.19 Load connections 79 2.1 Electricity regulation in Western Australia 4 6.20 Generator connections 83 2.2 Our funding process 6 2.3 Our planning processes 7 7. DISTRIBUTION SYSTEM AND 86 2.4 Customer contributions and connections 9 DEVELOPMENTS 2.5 Safety, health and environment 10 7.1 Metro planning region 86 2.6 Stakeholder and community engagement 10 7.2 Country distribution planning 115 2.7 Current state of the network 13 7.3 Under fault rated conductor 134 2.8 Future network strategy 13 7.4 Constrained distribution transformers 137 7.5 Non-competing threshold for generators 138 3. DEMAND FORECASTS 15 3.1 Annual peak demand forecast: 2016/17 to 15 8. NETWORK IMPACTS OF EMERGING 140 2025/26 TECHNOLOGY 3.2 Annual peak demand – Forecasting method 17 8.1 Understanding emerging technology trends 141 3.3 Demand changes in 2015/16 18 8.2 Understanding network evolution 141 8.3 Responding to technology challenges 142 4 GENERATION SCENARIO PLANNING 21 8.4 Projects in detail 143 4.1 Generation connection arrangement 21 4.2 Use of scenarios in transmission planning 21 APPENDIX A: GLOSSARY 148 4.3 Generation scenario development 21 APPENDIX B: CROSS-REFERENCE OF 150 5. COMPLETED PROJECTS 25 WESTERN POWER PLANNING REGIONS APPENDIX C: ESTIMATED MAXIMUM SHORT 156 6. TRANSMISSION SYSTEM ISSUES AND 29 CIRCUIT LEVELS DEVELOPMENTS 6.1 Bulk transmission capacity and constraint 29 APPENDIX D: CONNECTION APPLICATION 168 6.2 Local generation and demand management 29 PROCESS MAPS opportunities 6.3 Committed works 32 APPENDIX E: HISTORICAL PEAK DEMAND 170 6.4 North Country load area 34 E.1 Peak demand impact - Individual Reserve 178 Capacity Requirement mechanism 6.5 Eastern Goldfields load area 38 E.2 Peak demand trend 179 6.6 East Country load area 41 E.3 Comparison of peak demand forecasts - 180 6.7 Muja load area 43 2013/14 to 2015/16 6.8 Bunbury load area 47 E.4 Peak demand forecast validation 184 6.9 Mandurah load area 51 6.10 Kwinana load area 54 1. INTRODUCTION 1.1 Our role The APR provides an open and principles of the processes through 1.3 Interaction with the Electricity 1.5 Invitation to provide feedback Western Power is a Western Australian transparent view into the factors we which existing and potential network Statement of Opportunities We welcome feedback on this APR. State Government-owned corporation consider in addressing network issues users (including generators, major The APR complements the Australian Please direct comments on this that connects more than one million responsibly and efficiently, to produce loads, local councils and other Energy Market Operator (AEMO) document to: customers with electricity in a way that timely network and non-network organisations with planning and Deferred 2015 Electricity Statement of Head of Network Planning is safe, reliable and efficient. solutions to manage both emerging development interests) can engage us Opportunities,2 released in June 2016. Western Power constraints and meet developing on the development of network access While the Statement of Opportunities We build, maintain and operate the GPO Box L921 evolving customer needs. The APR agreements. focuses on the overall adequacy of electricity network in southern Western Perth WA 6842 aims to provide a strategic view of generation capacity, the APR’s focus is Australia, across an area bounded by This report is supported by a number Telephone: (08) 9326 6647 network development, illustrating the the identification of emerging network Kalbarri, Albany and Kalgoorlie. The of subordinate internal documents foundations for the planning and capacity issues and major assets Comments may also be submitted by Western Power network forms the vast containing detailed planning development of the Western Power issues and potential solutions for our email to [email protected] majority of the South West information on issues such as network network into the future from a transmission and distribution and through our website. Interconnected Network (SWIN), which capability, power reliability and asset whole-of-network perspective. networks. together with all of the electricity performance in discrete areas of the This APR is based on the most current generators and consumers, comprises As the operator of an unconstrained network. Among these are Network Although these artefacts are prepared information available at the time of the South West Interconnected network, Western Power is required to Development Plans (NDPs), which separately and from distinct forecasts, writing with respect to generation and System (SWIS). connect generators that apply for a articulate the medium-to-long-term they jointly provide a valuable insight load development expectations. We reference service to the network. While planning advice (2 to 50 year horizon) into current and future opportunities welcome contact from parties We are governed by an independent in recent years the Wholesale to ensure the efficient development of for new and existing generators, considering investments that, based Board and report to the Western Electricity Market has experienced an individual load areas. The NDPs developers and consumers. on the information provided here, Australian Minister for Energy as the over-supply of capacity, Western provide more detailed and specific would appear to either: owner’s representative. Power continues to connect information on potential network 1.4 Structure of the 2017 APR » delay requirements for network generators in line with this obligation developments. The 2017 APR is similar to the previous 1.2 About the Annual Planning development options, or and intends the APR to provide year, consultation with key internal and Report Our customers’ needs are dynamic so » accelerate requirements for network guidance on emerging capacity external stakeholders has influenced We publish the Annual Planning the information and plans change from development options. constraints for the benefit of new this year’s release and we believe this Report (APR) to provide information to year to year and we recognise the Relevant information will be generator, as well as load connections. has improved the usefulness of the electricity market participants and importance of keeping the plans up to incorporated in our planning process Additionally, there is a focus on document. date. Existing and potential customers and reflected in future editions of the interested members of the broader presenting emerging capacity are encouraged to contact us to APR. Western Australian community on the constraints for the benefit of existing nature and location of the emerging receive specific advice as early as and potential network users. 1 capacity constraints on the Western possible . Power network. This report also articulates the guiding 1 https://www.westernpower.com.au/connections/new-connections/ 2 https://www.aemo.com.au/-/media/Files/Electricity/WEM/Planning_and_Forecasting/ESOO/2015/Deferred-2015-Electricity-Statement-of- Opportunities-for-the-WEM.pdf WESTERN POWER WESTERN POWER 2 ANNUAL PLANNING REPORT 2017 ANNUAL PLANNING REPORT 2017 3 2. PLANNING CONSIDERATIONS This section presents a high-level include: overview of the legislative and » Electricity Networks Access Code regulatory requirements that 2004 (“the Access Code”) inform our planning processes, » Electricity Corporations Act 2005 » Code of Conduct for the Supply of together with a description of Electricity to Small Use Customers these processes. 2014 » Wholesale Electricity Market Rules efficient investment in, operation describe how charges are calculated and operation of the network and 2.1 Electricity regulation in 2004 and use of, networks and services for customers wishing to connect to connection to it, with which Western Western Australia » Electricity Industry (Code of of networks in Western Australia in the network and the process we Power, generators and consumers We are subject to a number of Conduct) Regulations 2005 order to promote competition.” 4 follow for processing connection must comply. These rules form part of regulatory regimes that are » Environmental Protection Act 1986 applications the Access Code and provide the It is essential that our ongoing administered by the following » Planning and Development Act » performance and reliability technical basis for investment operations and investment activities regulatory bodies: 2005. standards decisions and capital expenditure consider this objective, the conditions In developing its investment plans, one » performance incentives. forecasts. » Economic Regulation Authority (WA) of the most important pieces of of the Access Arrangement and the » EnergySafety (WA) investment tests applied by the ERA to legislation we must consider is the 2.1.3 Regulatory Test » Environmental Protection Agency Western Power’s activities. The term of the current Access Access Code, which is administered Under Chapter 9 of the Access Code (Commonwealth) Arrangement period (AA3) is 1 July by the ERA.
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