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AEMO Independent Assessment of NSW & TAS Networks

AEMO Independent Assessment of NSW & TAS Networks. July 2014. Presented BY National Planning. Agenda. Objective Connection point demand forecasts Network Assessment Principles Scope Assessment approach Next Steps. objectives.

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AEMO Independent Assessment of NSW & TAS Networks

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  1. AEMO Independent Assessment of NSW & TAS Networks July 2014 Presented BY National Planning

  2. Agenda • Objective • Connection point demand forecasts • Network Assessment • Principles • Scope • Assessment approach • Next Steps

  3. objectives • To support the economic, reliable and secure development of the transmission grid in the best interest of consumers • AEMO is developing • Independent Connection-point demand forecasts • Independent assessment of transmission network requirements

  4. Connection Point Forecasting

  5. NETWORK Assessment • Began work in late 2013 • Principles • Impartial - the assessment is fact based. • Transparent - the processes are replicable • Consistent - All jurisdictions in the NEM are treated the same • Consultative - AEMO is taking a consultative approach in completing the assessment • AEMO will support the business’ proposal where the analysis supports the proposal • AEMO will suggest alternative options where the analysis does not support the proposal

  6. SCOPE • In Scope • Augmentations • Identify potential network limitations over next 7 years • For each potential limitation, identify and suggest suitable options • Whether asset replacement is required given: • The network capability based on the current assets is sufficient to meet the reliability standards if the asset is retired and not replaced • There is an alternative, more efficient configuration of assets that would achieve the standard

  7. SCOPE • Out of Scope • Comment on the condition of the assets • Assessment of project costs • Detailed options analysis • Identify new strategic land and easement • Operational expenditure • Other infrastructures/provisions not directly related to shared transmission network and connection point assets (e.g. IT, Metering, Telecommunications)

  8. Network investment Capacity driven Condition driven For a proposed augmentation: For a proposed asset replacement: What level of demand 1. Network capability can the network for all N-x contingency events? if the asset was retired? support … Is there load at risk or after any beneficial network 2. Projected demand market congestion under the most critical contingency? reconfiguration? expected ... Augmentation required within the regulatory period. Identify preferred Replacement (with higher capacity) If yes: option under jurisdictional reliability required within the regulatory period. 3. Assessment under criteria. applicable planning criteria Replacement may not be required: If no: Augmentation not required. Retirement, derating or replacement with lower capacity. Assessment Approach

  9. Stakeholder engagement • Worked closely with NSPs to • Access data and information • Hold regular workshops plus in regular contact • Regular updates to AER throughout process. • Appointed external consultants for reviewing complex projects

  10. Next steps • Next Steps • Finalise the forecasts and network assessments • Publish the reports on AEMO website by 31July 14

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