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North Queensland Area Plan Forum April 2017 Presenter: Julian Thomas Facilitator: Gerard Reilly

North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

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Page 1: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

North

Queensland

Area Plan

Forum

April 2017

Presenter: Julian Thomas

Facilitator: Gerard Reilly

Page 2: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Welcome

• Presentation - 45 minutes

• Questions - 15 minutes

• Afternoon tea - 15 minutes

• Group discussion - 70 minutes

• Wrap-up and Q&A - 20 minutes

• Close and thanks

• Meet and greet with the Powerlink Board

Session timings

Page 3: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Demand and Energy - overview

• Planning the network - amended standard

• Deliver best solutions whether network, DSM,

local generation

• Challenge to manage peak demand

• Why are we interested in energy? - network

utilisation

Overview

Page 4: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Powerlink recognises its role to provide a

secure and reliable network that can power

economic growth and long term sustainability

of electricity supply in Queensland.

The role of transmission

Page 5: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

The role of transmission

Page 6: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Powerlink undertakes two annual

planning processes:

– Transmission Annual Planning Report (TAPR)

– Asset Management Plan (AMP)

• The Asset Management Plan aligns

Powerlink’s corporate direction,

asset management framework to an

integrated network investment plan.

Approach to planning our network

2015 Asset

Management Plan

2016 TAPR

2016 Asset

Management Plan

Updated Asset

Condition

Updated Network

Planning

Information

Updated Area

Plan Strategies

Updated Risk

Assessments

2017 TAPR

Page 7: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Cairns

North Queensland (Townsville)

Northern Bowen Basin

Central West

Rockhampton

Gold Coast

Tarong

Mackay

Gladstone

CQ-SQ

Metro

North Queensland Area Plans

Page 8: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Area plan development

Planning and network

optimisation

Determination and

review of investment

drivers and needs

Optimised needs driven

investment outlook

Page 9: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Area plan development

Planning and network

optimisation

Determination and

review of investment

drivers and needs

Optimised needs driven

investment outlook

• Updated demand and energy forecasts

• Analysis of: – Asset condition, performance and related risks

– Network capability and emerging limitations

(including customer connection needs)

– Competition and market impacts

– Operational impacts and constraints

– Customer and consumer engagement.

• Ensure compliance with system standards

• Confirm pending investment decisions and portfolio of approved projects

Page 10: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Area plan development

Planning and network

optimisation

Determination and

review of investment

drivers and needs

Optimised needs driven

investment outlook

• Integrated review of investment needs and

risks

• Market Engagement (such as this)

• Development of investment options (network

reconfiguration, non-network solution, network

solution or a combination of both)

• Risk and cost benefit analysis of options

Page 11: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Area plan development

Planning and network

optimisation

Determination and

review of investment

drivers and needs

Optimised needs driven

investment outlook

• 10 year outlook

• New investment or renewal of existing assets

• Renewal strategies include: – Additional maintenance

– Decommissioning or retirement

– Refurbishment or replacement of plant

(sometime with lower / higher rated equipment)

– Consolidation of existing assets

– Operational measures

• Non-network solutions

Page 12: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

What is the future of the Energy Network in Queensland?

Future generation profiles are uncertain

• New de-centralised generation

• Distributed generations such as residential Solar PV

• Unpredictability of retirement of existing generation.

New technologies make forecasting demand outlook difficult.

Different levels of asset information depending on

timing of risk

• More certainty closer to end of life as more detailed

condition becomes available.

Challenges in developing the area plans

Page 13: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Given these challenges and changes to the external

environment, Powerlink acknowledges participation with

stakeholders to seek their early input during the planning

process is vital

• Area Plan forums are conducted to seek feedback from

stakeholders as an input to the investment plan for our

network

• Focused on longer term network developments and the

economic and qualitative factors influencing Powerlink’s

decisions

• Two Area Plans forums were held previously:

– Greater Brisbane Metro Area Plan

– Central to Southern Queensland Interconnector

Stakeholder engagement

Page 14: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

275kV & 132kV Transmission Corridor

Page 15: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

NQ Area Plan – Network Development

1960

132kV circuit.

Collinsville PS to

Townsville.

`

Townsville South

Clare

Collinsville

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

1960

Townsville South

Clare

Collinsville

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Legend

132kV transmission line

132kV substation

Page 16: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

`

Ross

Townsville South

Clare

Strathmore Collinsville

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

1970-80 NQ Area Plan – Network Development

1970s-1980s

275kV SCs

established between

Collinsville and Ross.

Ross 275/132kV

substation

established with

one transformer

initially (there are

now three).

Clare

Collinsville

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Legend

Strathmore

Townsville South

132kV transmission line

132kV substation

275kV transmission line

275kV substation

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Ross

Page 17: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

`

Ross

Invicta

Mill

Townsville South

Clare

South

King Creek

Strathmore Collinsville

North

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

1990-Present

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

NQ Area Plan – Network Development

Clare

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Legend

Strathmore

132kV transmission line

132kV substation

275kV transmission line

275kV substation

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Townsville South

Invicta Mill

King Creek

2000 onwards

275kV supply into NQ

upgraded

- New double circuit from

Strathmore to Ross

- Two existing SCSTs from

Strathmore to Ross are

paralleled for higher

capacity

- Strathmore 275/132kV

Substation established with

one transformer.

Ross

Collinsville

North

Page 18: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

NQ Area Plan – Network Development

Clare

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Legend

Strathmore

132kV transmission line

132kV substation

275kV transmission line

275kV substation

Ross

Invicta

Mill

Townsville

South

Clare

South

King

Creek

Bowen

North

Strathmore Collinsville

North

Proserpine

Legend

132kV transmission line

275kV substation

132kV substation

275kV transmission line

Townsville South

Invicta Mill

King Creek

2000 onwards

Replacement of original

substations at Clare

and Collinsville at

adjacent sites.

Connection of major

customers.

Decommissioning of

assets:

- Collinsville Power Station

connections

- Mackay to Proserpine

transmission line.

Ross

Collinsville

North

Page 19: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

NQ Area Plan – Existing Network

• Existing capability

• Future load growth

• New generation

• Assets reaching end of

life

- Near term issues relate

to the TS-CS 132kV lines

• Investment Decision

- Renew these assets, or

decommission?

- Reconfigure the

network?

- Non-network alternative?

Page 20: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

NQ Area Plan – Townsville

• Existing capability

• Major customers

• Investment needs

• Easement issues

Page 21: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

• Appropriately reinvest in aging assets to

maximise economic and social value, whilst

achieving cost efficiencies

• As part of these decisions, consideration is given

to: – Cost of reinvestment

– Enduring Need

– Operational requirements and ability to perform

maintenance

– Alternative network and non network solutions

– Need to Support load centres and major customers

– Geographic diversity of supply to North Queensland

– Support new connections in the area, including renewable

resources

– Manage the potential impact of ‘latent’ load of resource

sector.

NQ Area Plan – Future Requirements

Page 22: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Current NER Requirements

Network Planning

National Electricity Rules

Transmission Annual Planning Report

Review

requirement

for RIT-T

Augmentation or augmentation

component >$6 million

Initiate RIT-T

Possible non-network solutions identified

in TAPR for reinvestments

or augmentations <$6 million

Initiate Non-network solution feasibility study

process

Transmission Annual Planning Report

Non-rule requirement

Page 23: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Questions?

Page 24: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Afternoon tea

Page 25: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Discussion Point 1

• What factors have the potential to impact on

Powerlink’s network in the next 10 years? (e.g.

change in generation mix, demand levels,

customer usage, new loads). What do

customers need from the network?

Discussion point 2

• What are the key drivers Powerlink should

consider in deciding the best network (reinvest,

reconfigure or decommission) or non-network

solutions for this area over the next 10 years?

NQ Area Plan - Discussion

Page 26: North Queensland Area Plan Forum - powerlink.com.au · – Transmission Annual Planning Report (TAPR) – Asset Management Plan (AMP) • The Asset Management Plan aligns Powerlink’s

Thank you