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Annual Planning Report 2018/19 Overview

Annual Planning Report 2018/19 Overview - Western Power · these to under one minute, Western Power has worked in collaboration with Synergy to provide an automated scheme that starts

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Page 1: Annual Planning Report 2018/19 Overview - Western Power · these to under one minute, Western Power has worked in collaboration with Synergy to provide an automated scheme that starts

Annual Planning Report 2018/19Overview

Page 2: Annual Planning Report 2018/19 Overview - Western Power · these to under one minute, Western Power has worked in collaboration with Synergy to provide an automated scheme that starts

Our business delivers an essential service for the community, transporting electricity safely, reliably and efficiently to support customers’ electricity demand.

Our people build, maintain and operate the electricity transmission and distribution assets of the South West Interconnected Network (SWIN). We’re proud to connect our community of more than 1.1 million customers with electricity to a wide range of both traditional and renewable energy sources to power a vibrant modern lifestyle.

New technology, demands for cleaner energy and alternative energy solutions are creating changes in the traditional electricity value chain. Increasingly, the grid is acting as a platform for customers to choose how they want their electricity supplied and delivered.

Understanding how the network will function, and unlocking future opportunities for customers, businesses and the State is critical.

Who we are

Our strategy for the future is to move our network to a modular grid, offer new services and products to our customers, while maximising and enhancing the value of the existing network.

We’re excited about the opportunities that technology is bringing and evolving with the changing energy needs of our customers to keep them connected every step of the way.

APR Overview 2018/192

Page 3: Annual Planning Report 2018/19 Overview - Western Power · these to under one minute, Western Power has worked in collaboration with Synergy to provide an automated scheme that starts

SWIS255,000km2

100,303kmcircuit wire

860,000poles & towers

17,896GWhelectricity transported

Our service area of 255,000 km2: » larger than the entire United

Kingdom (242,495 km2)

» contains 100,303km of circuit wire – two and a half times the Earth’s circumference (40,075km)

» connects communities across the south west of the State, from Kalbarri in the north, south to Albany and out to Kalgoorlie in the east

APR Overview 2018/19 3

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Annual planning process

What info goes into planning?Our published plans have a five-year outlook and study:

» energy demand forecasts

» future generation needs

» transmission and distribution network developments and projects

» estimated maximum fault levels.

We are planning for the future

We publish an Annual Planning Report (APR) to highlight network investment opportunities and outline emerging capacity constraints on our network. It also discusses how we seek and integrate network solutions to maintain or improve service levels.

The APR was last published in 2017 and can be considered current as load growth

across the SWIS has been stable in 2017-18. This update provides key highlights as well as information on completed and committed projects.

If you’re planning to connect to the network, we encourage you to get in contact to discuss your plans as early as possible.

APR Overview 2018/194

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Planning and partnershipsThe APR complements the Australian Energy Market Operator’s 2018 Wholesale Electricity Market (WEM) Electricity Statement of Opportunities.

While the WEM Electricity Statement of Opportunities focuses on the overall adequacy of generation capacity on a 10-year timeframe, the APR’s focus is the identification of emerging network capacity issues and potential solutions in the next five years.

Together these documents provide a valuable insight into current and future opportunities for existing and new generators, large businesses, developers and consumers.

An ever-changing environmentThe traditional energy service business model – a network of assets that delivers electricity one-way – is no longer the norm. Now, networks have to manage bi-directional flow.

We are embracing this changing environment and are transforming how we plan, build and operate our network. New technologies and customers who are more conscious of their energy source are also driving demand for more renewable energy and non-traditional solutions.

We have refreshed our estimated maximum fault levels at each substation. This data can be found with the APR in the Reports & Publications section of our website.

APR Overview 2018/19 5

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Demand opportunities are growingWe are seeing substantial interest from Lithium-based industries. We have connected, or are in the process of connecting, about 110MW of capacity to connect new mining and processing loads in the Kwinana and South West regions. We are continuing to work with large mining customers, local government and other stakeholders in the Mid-West, Eastern Goldfields, and South West regions to facilitate their energy needs.

We are also installing new transmission cables in the Perth CBD, to connect Hay Street and Milligan Street substations, and planning to undertake a number of projects in the Eastern Goldfields region to increase capacity in the area.

Key completed and committed projects are on pages 12-15 of this Overview.

Connecting new generatorsIn the next few years we expect to connect several hundred megawatts of renewable generation. We are progressing applications for generator connections, particularly in regional areas. We have also been working with AEMO and the Public Utilities Office to develop the Generator Interim Access (GIA) solution launched July 2018, to support a limited number of new generator connections while a longer-term option is under review. We have opened the SWIN to around 900MW of new renewable energy projects through our final GIA offers being made in December 2018. The first project connected under the GIA was commissioned in January 2019.

Potential volatility in our network system peak loads

Load forecasting

Our forecasting reflects the challenges the industry is facing, such as the significant uptake of solar systems, electric vehicles (including plug-in hybrids), increases in electricity prices and more energy efficient buildings and electrical appliances.

We review our annual 10-year peak demand forecast to track changes in demand, and reveal year-to-year network risks and development opportunities. This forecast is based on both historical trends and key underlying factors such as weather, population growth, economic cycles, changing consumer behaviour and tariffs, and future technological advances.

Annual peak demand on the network has been relatively stable and is forecast to decrease. The chart below demonstrates the potential future volatility in annual peaks (represented by the forecast band). For more detail on the forecast to 2025/26, please see Section 3 of the APR.

APR Overview 2018/196

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Building the grid of the futureWe are road-testing technologies with the potential to change our network and better meet customer needs. Current projects include:

Stand-alone Power Systems (SPS) – SPS units generate and store electricity without being connected to the grid. SPS offers an alternative to poles and powerlines during upgrade and replacement for edge of grid customers. Following a very successful trial of six sites in the Great Southern we have begun a Demonstration Project that will use this technology at scale, with approximately 60 SPS to be installed and operational in 2019.

Kalbarri microgrid – A microgrid is a small-scale network that can operate independently or connect to the grid. The 5MW Kalbarri microgrid will consist of a new 4.5MWh utility scale battery, which will supply Kalbarri in the event network power is interrupted. It will use renewable energy from residential and commercial sources, including the 1.6MW Synergy windfarm, to extend the battery runtime during a network outage. It is expected to be operational in 2019.

Perenjori Battery Energy Storage System (BESS) – Perenjori is the first town to trial a backup battery supply to improve reliability, thanks to a 1MWh network battery that has been installed on the outskirts of town. This is the first known trial looking to address both longer and momentary outages for an entire rural town. The full capability of the system came online mid-2018.

PowerBank – In partnership with retailer Synergy, we are trialling a PowerBank in Meadow Springs. It allows customers to store excess electricity generated by their solar panels in a network-scale battery and draw on this during peak times. The PowerBank was placed into service in late 2018.

Bremer Bay Automation – Due to the distance covered by the network supplying the area, Bremer Bay customers have had frequent and lengthy outages. To reduce these to under one minute, Western Power has worked in collaboration with Synergy to provide an automated scheme that starts the Synergy-owned power station automatically when supply from the network is lost, and stops it when supply is restored. The automation scheme was successfully commissioned in December 2017.

APR Overview 2018/19 7

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Key transmission load constraints (0-5 Years)

You can connect with us

Increasingly, we are acting as a platform for business and residential customers to choose how they want their electricity supplied and delivered.

During the next five years, we will be making network changes to support customer needs.

Specifically, we are considering not just augmentation of the network, but also non-traditional options such as demand management, local generation and non-standard connections.

We see our role as laying the foundations for industry change and we expect many opportunities for others in the industry to join us.

8 APR Overview 2018/19

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EDM#:45375801

The two maps shown here indicate specific locations where network constraints exist and can be used to identify opportunities for future load and generation connections. Customers can continue to refer to Section 6 and 7 of the 2017 APR for detailed information, however should check with us for any new information.

To discuss specific opportunities to connect to our network, please contact the Access Solutions Manager at: [email protected]

PAGE 10

Connecting to our distribution network

There are also opportunities to connect to our distribution network.

We have recently made changes to our policies regarding the capacity threshold for generators deemed as not constrained and non-competing for transmission capacity. This improves application processing times and cost, while maintaining network reliability and safety.

We have added a new threshold of less than 10MVA (but greater than or equal to 1MVA) installed capacity to be applied to inverter connected distribution and transmission generators, such as many commercial solar systems. This threshold is in addition to the existing threshold of less than 1MVA installed capacity. Specific eligibility criteria apply to each threshold. Further technology types (synchronous, induction, etc.) may be considered under these thresholds but they will be assessed individually due to the potential for higher impact on transmission and sub-transmission network fault levels.

Specific substations are limited in accommodating a significant capacity (≤2.5MW) of inverter connected distribution embedded generators and may require further assessment. These zone

Key transmission generation constraints

The two maps shown here indicate specific locations where network constraints exist and can be used to identify opportunities for future load and generation connections.

Customers can continue to refer to Section 6 and 7 of the 2017 APR for detailed information, however should check with us for any new information.

To discuss specific opportunities to connect to our network, please contact the Access Solutions Manager at: [email protected]

9APR Overview 2018/19

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Connecting to our distribution network

There are also opportunities to connect to our distribution network.

We have recently made changes to our policies regarding the capacity threshold for generators deemed as not constrained and non-competing for transmission capacity. This improves application processing times and cost, while maintaining network reliability and safety.

We have added a new threshold of less than 10MVA (but greater than or equal to 1MVA) installed capacity to be applied to inverter connected distribution and transmission generators, such as many commercial solar systems. This threshold is in addition to the existing threshold of less than 1MVA installed capacity. Specific eligibility criteria apply to each threshold. Further technology types (synchronous, induction,

etc.) may be considered under these thresholds but they will be assessed individually due to the potential for higher impact on transmission and sub-transmission network fault levels.

Specific substations are limited in accommodating a significant capacity (≤2.5MW) of inverter connected distribution embedded generators and may require further assessment.

Further information on connection opportunities, including the eligibility criteria that must be met, can be obtained from our Access Solutions Manager at: [email protected]

We have recently made changes to our policies to increase the capacity threshold for some generators less than 10MVA.

APR Overview 2018/1910

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For further information please refer to the Applications and Queuing Policy and the APR, or contact the Access Solutions Manager at:

Gingin

Mandurah

Perth

The estimated capacity of customer

distributed energy resources (DER)

connected to our distribution network.

[email protected]

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Paving the way for the future

Our network development planning process helps to maximise the value of the network and prepare for coming technological changes. This process identifies improvements we can make now, to provide an efficient, reliable and competitive network service for customers.

Since the 2017 APR, we have delivered a range of network investments which address network issues.

We have also committed to a range of upcoming projects which will help meet reliability demands while continuing to provide a high quality service.

A summary of the key completed and committed projects is provided below.

Projects completed since the publishing of the 2017 APRTransmission network projectsBUSSELTON and PINJARRA: Installed switches on the Pinjarra-Kemerton-Picton-Busselton 132kV line.

KALGOORLIE: Installed additional protection schemes on Eastern Goldfields transmission network to relieve rotor angle stability issues.

MUJA: Replaced 220/132kV bus tie transformer at Muja Terminal substation.

PERTH METRO: Kwinana to Southern Terminal partially de-meshed to reduce fault levels and relieve thermal limitations.

PERTH METRO: Resupplied North Fremantle substation from adjacent substations and decommissioned the remaining fluid-filled cable section between North Fremantle and Edmund Street substations.

PERTH METRO: Replaced under-fault rated equipment at Collier, Summers Street, Wembley Downs and Western Terminal substations to mitigate fault level constraints.

PERTH METRO: Decommissioned the University, Shenton Park and Herdsman Parade substations and partially decommissioned the Nedlands substation.

BUSSELTON: Partially converted the Busselton 66kV to 132kV substation to address degraded asset conditions and to accommodate increasing demand.

NARROGIN: Replaced deteriorated condition 66/22kV transformer to mitigate safety and reliability risks due to in-service asset failure.

MARGARET RIVER: Replaced deteriorated condition 66/22kV transformers to mitigate safety and reliability risks due to in-service asset failure.

MOORA: Replaced transformer that failed in-service due to lightning strike.

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Distribution feeder network projects

BEVERLEY and YORK: Installed a third voltage regulator to mitigate low voltage issues.

NORTHAM and WUNDOWIE: Upgraded single phase capacity on the line.

PERTH METRO: Decommissioned the Shenton Park and Herdsman Parade substations to address degraded asset conditions.

PERTH METRO: Converted to 11kV and reinforced the network at the Nedlands substation.

PERTH METRO: De-energised the North Fremantle substation and shifted supply to adjacent substations to resolve transmission cable issues.

PROTECTION REVIEW AND UNDER-FAULT RATED CONDUCTOR MITIGATION PROGRAM: Manjimup, Three Springs, Medina, Margaret River, Piccadilly, Byford, Katanning, Kojonup, Geraldton, Chapman, Bunbury Harbour, Kalamunda, Morley.

MORLEY, CAPEL AND MANNING ST: Upgraded feeders to address thermal capacity supply issues.

COMBINED ASSET REPLACEMENT PROGRAM: Remediated high risk wood poles, overhead distribution conductors and associated plant/equipment to manage safety risks.

LV POWER QUALITY MANAGEMENT PROGRAM: Undertook monitoring, voltage management and proactive/corrective works to improve power quality performance.

OVERLOADED DISTRIBUTION TRANSFORMER/LV UNDERGROUND CABLE PROGRAM: Proactively upgraded assets that are at risk of potential overload.

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Transmission works

WEST KALGOORLIE: Replace Static Var Compensators to mitigate safety and reliability risks, maintain dynamic reactive power support/voltage stability and reduce out of merit generation costs.

OSBORNE PARK: Replace pitch-filled switchboard to address associated safety and reliability issues.

CAPEL: Replace a 66/22kV transformer to accommodate increasing demand and address degraded asset condition.

PICTON: Replace a 66/22kV transformer with a 132/22kV unit to accommodate increasing demand and address degraded asset condition.

Joint transmission and distribution works

PERTH CBD: Install 132kV transmission cable between the Hay and Milligan Street substations to facilitate the rationalisation and replacement of deteriorated assets in the Perth CBD load area.

GERALDTON: Install a new transformer at the Rangeway substation and decommission the Durlacher substation.

PERTH METRO: Install a new transformer at the Meadow Springs substation.

APR Overview 2018/1914

Key committed projects

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Distribution works

KALBARRI: Build a microgrid, with a utility scale battery backup to be integrated with a wind farm and any future embedded generation sources. This is a pilot project to enhance understanding of this technology and improve reliability to customers in the Kalbarri area.

PROTECTION REVIEW AND UNDER - FAULT RATED CONDUCTOR MITIGATION PROGRAM: Albany, Busselton, Capel, Picton, Moora, Wagin, Arkana, Landsdale, Northam, Yokine, Osborne Park, Hadfields.

BUSSELTON AND HENLEY BROOK: Upgrade feeders to address thermal capacity supply issues.

SOUTH COUNTRY: Mitigate network imbalance on five single-phase spurs in the distribution network to maintain customer reliability, compliance and power quality.

LV NETWORK PLANNING AND POWER QUALITY PROGRAM: Proactively upgrade distribution transformers that are at risk of potential overload, to improve power quality performance.

A shared understanding of the industry’s future is crucial to ensuring we all not only succeed at our individual business goals, but together build a bright and sustainable future for Western Australia.

We would appreciate your feedback and ideas about forecast planning and changes

impacting your business and customers.

For further information on our 2017 Annual Planning Report or this 2018/19 Update please visit: westernpower.com.au/about/ reports-publications

Let’s work together

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Visit us:Western Power Head Office363 Wellington Street Perth WA 6000 Australia

Contact our team:Head of Grid TransformationGPO Box L921Perth Western Australia 6842Telephone: (08) 9326 6647

Comments can also be submitted by email to [email protected] or through our website.