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Transmission Annual Planning Report June 2019

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TRANSMISSION ANNUAL PLANNING REPORT JUNE 2019 South Australian 2019 Transmission Annual Planning Report | Page 1 Contents About ElectraNet 5 Purpose of the Transmission Annual Planning Report 6 Executive Summary 9 1 Preparing for the future 13 1.1 Renewable generation development continues to drive the evolution of 13 South Australia's Electricity System 1.2 Future directions and key priorities 14 1.3 What is ElectraNet doing now, to prepare for the future? 16 1.3.1 Interconnection 16 1.3.2 System strength and inertia 16 1.3.3 Voltage control 17 1.3.4 Ability to operate the South Australian system if islanded from the rest of the NEM Copyright and disclaimer 17 2 National transmission planning 19 The purpose of this document is to provide information about ElectraNet's assessment of the transmission system’s likely 2.1 Integrated System Plan 19 capacity to meet demand in South Australia over the next 10 2.1.1 System strength 19 years. It also provides information about ElectraNet’s intended 2.1.2 Distributed energy resources orchestration 20 plans for augmentation of the transmission network. This document is not to be used by any party for other purposes, 2.1.3 South Australia to New South Wales Interconnector 20 such as making decisions to invest in further generation, storage, 2.1.4 South Australian Renewable Energy Zone candidates 20 transmission or distribution capacity. This document has been 2.2 National Transmission Network Development Plan 20 prepared using information provided by, and reports prepared by, a number of third parties. 2.2.1 System strength and inertia requirements 22 2.2.2 Voltage control at times of minimum demand Anyone proposing to use the information in this document should 22 independently verify and check the accuracy, completeness, 2.3 Power system frequency risk review 22 reliability and suitability of the information in this document, 2.3.1 Recommendations for South Australia 22 and the reports and other information relied on by ElectraNet in preparing it. 3 Electricity demand 25 This document contains certain predictions, estimates and 3.1 South Australian electricity demand 25 statements that reflect various assumptions concerning, amongst 3.2 Demand forecasting methodology 26 other things, economic growth scenarios, demand forecasts 3.3 2018-19 Demand forecast 27 and developments within the National Electricity Market. These assumptions may or may not prove to be accurate. The 3.4 Performance of 2018-19 demand forecasts for summer 2018-19 28 document also contains statements about ElectraNet’s future 3.4.1 Connection point review 30 plans. 33 Those plans may change from time to time and should be 4 System capability and performance confirmed with ElectraNet before any decision is made or action 4.1 Our Network 33 is taken based on this document. 4.2 Transmission system constraints in 2018 35 ElectraNet makes no representation or warranty as to the 4.3 Emerging and future network constraints and performance limitations 40 accuracy, reliability, completeness or suitability for particular 4.4 Potential projects to address constraints 42 purposes of the information contained within this document. ElectraNet and its employees, agents and consultants shall 4.5 Frequency control schemes 44 have no liability (including liability to any person by reason of 4.5.1 Automatic under-frequency load shedding 44 negligence or negligent misstatement) for any statements, 4.5.2 Automatic over-frequency generator shedding 44 opinions, information or matter expressed or implied arising out of, contained in, or derived from, or for any omissions from, the 4.5.3 System integrity protection scheme 46 information in this document, except in so far as liability under 5 Connection opportunities and network support 49 any statute cannot be excluded. 5.1 Connection opportunities for generators 49 Copyright in this material is owned by or licensed to ElectraNet. 5.1.1 General observations about connection opportunities for generators Permission to publish, modify, commercialise or alter this material 50 must be sought directly from ElectraNet. 5.1.2 Implications of South Australian system strength requirements 50 Reasonable endeavours have been used to ensure that the 5.1.3 Approach to generation connection opportunity calculations 51 information contained in this report is accurate at the time of writing. However, ElectraNet gives no warranty and accepts no liability for any loss or damage incurred in reliance on this information. South Australian 2019 Transmission Annual Planning Report | Page 1 5.2 Connection opportunities for customers 52 5.3 Summary of connection opportunities 52 5.4 Proposed and committed new connection points 55 5.5 Projects for which network support solutions are being sought or considered 56 6 Completed, committed and pending projects 59 6.1 Recently completed projects 59 6.2 Committed projects 62 6.3 Pending projects 67 7 Transmission System Development Plan 69 7.1 Summary of planning outcomes 71 7.2 Committed urgent and unforeseen investments 73 7.3 National transmission planning 73 7.4 System security 74 7.5 Connection Points 76 7.6 Market benefit opportunities 78 7.7 Maximum demand 80 7.8 Minimum demand 81 7.9 Fault levels 81 7.10 Network asset retirements and replacements 82 7.11 Network asset de-ratings 86 7.12 Grouped network asset retirements, de-ratings and replacements 86 7.13 Security and compliance projects 90 APPENDICES 92 Appendix A Summary of changes from the 2018 Transmission Annual Planning Report 93 Appendix B Joint planning 97 B1 National transmission planning working groups and regular engagement 97 B2 Joint planning projects 97 Appendix C Asset Management Approach 99 C1 ElectraNet's Asset Management Strategy 99 C2 Obligations relating to capital expenditure 100 C2.1 Transmission licence and ETC obligations 101 C2.2 Rules requirements 103 C2.3 Safety, Reliability, Maintenance and Technical Management Plan 103 C3 Capital Expenditure Categories 104 C4 Expenditure forecasting methodology 106 C5 Key inputs and assumptions 107 C6 Further information on ElectraNet's Asset Management Strategy and 109 Methodology Appendix D Compliance Checklist 110 Appendix E Contingent Projects (2018-19 to 2022-23) 114 INDEX OF FIGURES 116 INDEX OF TABLES 117 ABBREVIATIONS 118 GLOSSARY OF TERMS 120 l Page 2 South Australian 2019 Transmission Annual Planning Report | Page 3 About ElectraNet We also provide consultancy and other services to ElectraNet powers people’s lives third parties involved with our high voltage electricity by delivering safe, affordable assets and our one stop-shop service means our clients can entrust us with the end-to-end delivery and reliable solutions to power and management of electricity infrastructure assets. homes, businesses and the ElectraNet is part of the National Electricity Market economy. (NEM) and maintains close working relationships with electricity market bodies including the Australian As South Australia’s principal Transmission Network Energy Market Commission (AEMC), Australian Service Provider (TNSP), we are a critical part of the Energy Regulator (AER), Australian Energy Market electricity supply chain. Operator (AEMO) and the Essential Services ABOUT Commission of South Australia (ESCOSA). We build, own, operate and maintain high-voltage electricity assets, which move energy from traditional and renewable energy generators in South Australia ELECTRANET and interstate to large load customers and the lower voltage distribution network. l Page 4 South Australian 2019 Transmission Annual Planning Report | Page 5 Purpose of the Transmission Annual Planning Report Each year, ElectraNet reviews the capability of The report does not identify a single specific South Australia’s electricity transmission network future development plan for the South Australian and regulated connection points to meet ongoing transmission system, rather it is intended to form electricity demand, forecast under a variety of part of a consultation process to ensure efficient and operating scenarios. ElectraNet works with SA economical development of the transmission network Power Networks, which is responsible for distributing to meet forecast electricity demand over the planning electricity throughout South Australia, to complete period. Decisions by ElectraNet to invest in the South the review. We also take into account outcomes Australian transmission system will only be made at of joint planning with Powerlink in Queensland, the time they become needed. TransGrid in New South Wales, AusNet Services in We are committed to ongoing improvement of the Victoria, and the Australian Energy Market Operator Transmission Annual Planning Report, and its value (AEMO) in its roles as Victorian Transmission Planner to our customers and industry stakeholders. and National Transmission Planner (Appendix B). We invite feedback on any aspect of this report. ElectraNet’s asset management, planning and Your feedback will help us to serve you better and forecasting processes align with the applicable ensure we can provide reliable electricity transmission regulatory requirements (Appendix C). services that contribute to an affordable electricity This report presents the outcomes of the annual supply to customers. planning review and forecasting to help you Comments and suggestions can be directed to: understand the network’s current capacity and how we think this may change in the future. The report ElectraNet Pty Ltd covers a 10-year planning period (1 July 2019 to +61 8 8404 7966 30 June 2029)
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