PACR Maintaining power transfer capability and reliability of supply at Kemmis

07/02/2024
Market National Electricity Market
StageFinal Report
ConvenorAEMO NSP
Initiated07/02/2024
Accepting submissions?No

Powerlink has recently published a ‘Project Assessment Conclusions Report’ (PACR) to maintain power transfer capability and reliability of supply at Kemmis.

Kemmis substation, located approximately 32km north west of Nebo, was established in 2002 to support the load growth arising from the expansion of mining in the northern Bowen Basin and to provide a bulk-supply injection point to the Ergon distribution network (part of the Energy Queensland group).

Power transformer 1 (Transformer 1) was first assembled and energised at an alternate site in 1984 and relocated to Kemmis substation in 2003 as part of the substation’s original development.

Having been in-service for almost forty years, a recent condition assessment indicates that Transformer 1 is nearing the end of its service life and is displaying a number of condition-based issues.

Planning studies have confirmed there is a long-term requirement to continue to supply the existing electricity services provided by Kemmis Substation. Powerlink must therefore take action to avoid the increasing likelihood of unserved energy arising from failure of the transformer at Kemmis, and ensure customers are provided with a reliable and safe supply of electricity.

In September 2023 Powerlink published a ‘Project Specification Consultation Report’ (PSCR) identifying the proposed preferred option to address the risks and claiming exemption from producing a ‘Project Assessment Draft Report’ as allowed for under NER Clause 5.16.4(z1).

There were no submissions received in response to the PSCR, which closed in December 2023. As a result, no additional credible options that could deliver a material market benefit have been identified and the outcomes of the economic analysis contained in the PACR remain unchanged from those published in the PSCR.

The PACR recommends implementation of Option 1, the replacement of Transformer 1 by 2026. The indicative capital cost of the RIT‑T project for the preferred option is $6.78 million in 2022/23 dollars. Powerlink is the proponent of this network project.

In accordance with the requirements of the Rules, a summary of the PACR has been made available on AEMO’s website. A copy of the PACR can be obtained from the Powerlink Website on the RIT-T Consultations page or by emailing networkassessments@powerlink.com.au.

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