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18/19 Annual Report Acknowledgement to Country 18/19 ANNUAL REPORT ACKNOWLEDGEMENT TO COUNTRY We acknowledge and pay our respect to We acknowledge Aboriginal and Torres Aboriginal and Torres Strait Islander peoples Strait Islander peoples continued cultural as the First Peoples of Australia. and spiritual connection to the seas and the lands on which we operate on. We We are privileged to share their lands, acknowledge their ancestors who have throughout 2.3 million square kilometres walked this land and travelled the seas and of regional and remote Western Australia their unique place in our nation’s historical, and Perth, where our administration centre cultural and linguistic history. is based, and we honour and pay respect to the past, present and emerging Traditional Horizon Power uses the term Aboriginal and Owners and Custodians of these lands. Torres Strait Islander (and Aboriginal on future references) instead of Indigenous. Therefore, within all Horizon Power documents the term Aboriginal, is inclusive of Torres Strait Islanders who live in Western Australia. 18/19 ANNUAL REPORT 3 ACKNOWLEDGEMENT STATEMENT TO COUNTRY OF COMPLIANCE For year ended 30 June 2019 MINISTER FOR ENERGY HON BILL JOHNSTON MLA In accordance with the Electricity Corporations Act 2005 (the Act), I have the pleasure in submitting for your information and presentation to Parliament, the 2018/19 Annual Report of the Regional Power Corporation, trading as Horizon Power. The Annual Report has been prepared in accordance with provisions of the Act. Yours sincerely Peter Oates Deputy Chair 9 September 2019 Broome 18/19 ANNUAL REPORT 5 ACKNOWLEDGMENT TO COUNTRY 2 STATEMENT OF COMPLIANCE 3 OUR PERFORMANCE 01 ABOUT US 8 2018/19 HIGHLIGHTS 9 OUR CAPABILITIES 10 SERVICE AREA 11 MESSAGE FROM THE DEPUTY CHAIR 12 CHIEF EXECUTIVE OFFICER’S REPORT 14 OPERATIONAL PERFORMANCE REPORT 16 PROVIDING A SAFE AND RELIABLE SUPPLY OF ELECTRICITY 18 DELIVERING FOR OUR CUSTOMERS 24 OUR COMMUNITY 02 EMPOWERING OUR COMMUNITIES 30 CASE STUDY – MASTER METER PROJECT 32 OUR PEOPLE 33 CASE STUDY – FIELDREACH 36 ENVIRONMENT 37 CASE STUDY – MINIMISING OUR ENVIRONMENTAL IMPACT 40 HERITAGE AND NATIVE TITLE 41 DIRECTORS’ REPORT 03 DIRECTORS’ REPORT 42 GLOSSARY OF TERMS 56 18/19 ANNUAL REPORT 7 01 OUR PERFORMANCE 8 18/19 ANNUAL REPORT ABOUT US Horizon Power is Western Australia’s regional and remote power provider. We are passionate about what we do and strive to ensure our customers receive safe and reliable power to their homes, businesses and communities. As the only vertically integrated utility in We manage a total of 38 systems delivering We are making significant investments in Australia, we operate across the full energy power to 47,702 customer connections developing our renewable energy capability, supply chain – generation, distribution and servicing more than 110,000 residents, incorporating rooftop solar and battery transmission, and retail services. communities and businesses. This includes orchestration and expertise. We are leading the North West Interconnected System technical trials and pilots exploring new and Our employees and their families live (NWIS) in the Pilbara; the connected network innovative ways of providing our customers in many of the regional and remote covering three interconnected systems in with more sustainable, affordable power and communities we service and support. Kununurra, Wyndham and Lake Argyle; and tailored energy solutions. Spanning 2.3 million square kilometres, 34 microgrids tailored to meet the unique we are responsible for the largest We operate under the Electricity Corporations needs of some of the most isolated and geographical catchment of any Act 2005. We are governed by a Board of remote communities in the world. Australian power provider. directors accountable to the Minister for These systems connect communities Energy, the Hon Bill Johnston MLA. outside of the south west of the State from Kalumburu in the north, to Wiluna in the east, Shark Bay in the west and Hopetoun in the south. We service more than 110,000 residents, communities and businesses 18/19 ANNUAL REPORT 9 2018/19 HIGHLIGHTS First WA Government $1.8B Trading Enterprise to partner with Supply In assets $560M Nation In revenue Installed Commissioned a Second stage solar farm of the Onslow 101 and network Renewable Meters in battery in Energy Pilot Onslow launched 13 Remote Aboriginal communities IFAP IFAP WA’s best Gold Safeway Safeway Television commercial Award Innovation at the Campaign Award Brief Perth Awards runner-up for our ‘Stay 10 Metres Away’ safety campaign Tropical Cyclone Installed Co-funded rooftop Veronica power solar PV systems restored with 4 in Djarindjin and minimal disruption Standalone power Lombadina to customers systems on remote properties in Esperance 10 18/19 ANNUAL REPORT OUR CAPABILITIES 401 47,70247,702 Employees 6 Customer connections - 39,038 residential and Regional service depots and one administrative 8,643 services in Perth business 8,430km 56,794 7.7 GWh Of overhead Distribution poles Of renewable and underground energy transmission purchased from 979 and distribution customers and Transmission poles lines returned to 871 the network Transmission towers in service 0.55 kg CO2-e / kWh carbon emissions sent out 993.26 GWh 3 Energy types – Electricity gas, renewable energy delivered (wind, solar and hydro) a year and diesel 18/19 ANNUAL REPORT 11 Kununurra Djarindjin 1 SERVICE 8 Kalumburu AREA Broome Wyndham 2 Ardyaloon Lake Argyle Port Hedland 4 Beagle Bay Kimberley Derby Warmun Camballin/Looma 4 Fitzroy Crossing Halls Creek Bidyadanga Yungngora Onslow Point Samson 3 Karratha South Hedland Cossack Marble Bar Roebourne Nullagine Exmouth Pilbara Coral Bay Carnarvon Gascoyne Junction Gascoyne/Mid West 5 Denham Meekatharra Wiluna Boolardy (MRO) Cue Mt Magnet Sandstone Yalgoo Laverton Leonora Menzies Offices Esperance/Goldfields Current supply areas Serviced by South West Norseman Interconnected Bentley System Hopetoun 6 7 Esperance Region Town Project Key Kimberley Kununurra Master Meter Project 1 Kimberley Broome Smart Sun Pilot 2 MyPower 4 Pilbara Onslow Onslow Power Project 3 Pilbara Port Hedland MyPower 4 Gascoyne/Mid West Carnarvon Carnarvon DER Trials 5 Esperance/Goldfields Esperance Standalone Power Systems 6 Esperance Power Project 7 Kimberley Djarindjin/Lombadina Solar Incentives Scheme 8 12 18/19 ANNUAL REPORT MESSAGE FROM THE DEPUTY CHAIR I am delighted to be reporting on another year of achievement for Horizon Power. Much has been accomplished over the past 12 months thanks to the contributions of my fellow Board members and dedicated employees. The year has been a very rewarding and A lot of work has been undertaken during the Aboriginal Engagement challenging time and we have undergone a year to deliver safe and reliable power against At a Board level, we are committed to number of changes at the Board, Executive a rapidly changing energy landscape, which developing initiatives aimed at increasing and Ministerial level. In March, we appointed cannot be understated. Balanced against employment and economic opportunities our new Chief Executive Officer, Stephanie this work is affordability – reducing our costs for Aboriginal people and businesses in the Unwin. Stephanie has brought a wealth of through the uptake of distributed energy and communities in which we operate. We are experience to the business, along with a providing pricing solutions to government. focused on delivering these key initiatives and deep understanding of the energy sector. I developing our partnerships to expand on Customer and Community Support would like to thank Mike Houlahan, General our existing engagement model, and create Manager Commercial Services and Finance It is important to note some of the highlights more sustainable opportunities for Aboriginal for his stewardship as Acting CEO during the achieved throughout the year, including the customers. This ranges from solutions to recruitment process. On behalf of the Board, delivery of a number of initiatives aligned to improve the affordability of power for our I would like to congratulate our new Minister, our core business objectives. customers through to mutually beneficial the Hon Bill Johnston on his appointment We have led progress on tariff reform partnerships which will deliver jobs and to the Energy portfolio. We look forward to through MyPower, an innovative variable income to ensure sustainability. continuing to work with him on augmenting pricing product that realigns tariff structure the various initiatives we are undertaking to A key part of this was the successful and provides customers incentives to deliver safe and reliable power to residents completion of our master meter project, reduce peak usage. MyPower is a key part and businesses in regional and remote which delivers affordable electricity to of our strategy to provide customers with Western Australia. I also thank former remote Aboriginal communities. We worked fair and equitable access to electricity, Energy Minister, the Hon Ben Wyatt MLA, closely with customers in 13 remote create customer choice and increase the for his support of Horizon Power’s vision Aboriginal communities to transition each sustainable uptake of renewables. and strategy. resident to pre-payment meters rather An independent research report into than whole communities receiving one bill. I would like to acknowledge the commitment MyPower found that more than two-thirds of The installation of pre-payment meters and efforts of former Chairman Stephen vulnerable customers were financially
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