TransGrid PACR: Meeting demand growth in the Greater Macarthur area

08/09/2020
Market Network Service Provider, National Electricity Market
StageProject Assessment Conclusions Report
ConvenorAEMO NSP
Initiated08/09/2020
Accepting submissions?No

TransGrid has recently published a Project Assessment Conclusions Report for meeting demand growth in the Greater Macarthur area. 

This PACR has been prepared in conjunction with Endeavour Energy (as the relevant distribution network service provider). The Endeavour Energy 66 kV network in the Greater Macarthur area is currently supplied by:

  • one 250 MVA 330/66 kV transformer at TransGrid’s Macarthur substation 
  • two 120 MVA 132/66 kV transformers at Endeavour Energy’s Nepean substation 

A single 375 MVA 330/132 kV transformer at TransGrid’s Macarthur substation also provides 132 kV supply to Endeavour Energy’s Nepean substation via the tail-ended high capacity 9L1 Macarthur to Nepean 132 kV circuit. 

In addition, the normally open 9L4/93X and 9L5/93Y 132 kV circuits provide a limited level of backup to Nepean at 132 kV from Sydney West and Liverpool. The level of backup available from these feeders is progressively being reduced as load growth in the South West Priority Growth Area materialises.

Endeavour Energy has experienced unprecedented growth in new customer connections in the last five years driven by the growth in the greenfield housing market. Continued growth in demand within the Greater Macarthur area is forecast to result in network constraints that, if unaddressed, will result in significant involuntary load shedding to end consumers.

TransGrid published a Project Assessment Conclusions Report (PACR) for meeting demand growth in the Greater Macarthur area in June 2020. No submissions were received in response to the PSCR during the consultation period which closed in August 2020.

Having considered whether a number of credible options would meet the identified need, TransGrid considers that there are two feasible network option from a technological and project delivery perspective. 

Since the PSCR, TransGrid has updated the:

  • discount rates;
  • inflation escalation (including capex); and
  • operating costs

None of these elements has made a material impact on the outcome. 

Option 1 — installation of a second 330/66 kV transformer at Macarthur substation— remains the preferred option. This option is estimated to have a capital cost of $9 million +/- 25% and is expected to be commissioned by June 2022. TransGrid is the proponent of the proposed network project.

In accordance with the requirements of the National Electricity Rules, a summary of the PACR is made available on the AEMO website. A copy of the PACR can be obtained from TransGrid’s website on the Regulatory Investment Tests page or by emailing RIT-TConsultations@TransGrid.com.au

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