Overview
On 7 April 2022 SA Power Networks submitted an application under clause 6.6.1 of the National Electricity Rules to the AER for a positive pass through of costs associated with a new regulatory obligation published by the South Australian Office of the Technical Regulator on 21 December 2021. The new obligation imposes new standards on SA Power Networks to address power system security issues.
On 16 September 2022, the AER released its decision on a positive cost pass through application received from SA Power Networks. The application relates to a new regulatory obligation published by the South Australian Office of the Technical Regulator imposing new standards on SA Power Networks to address power system security issues.
Our decision is to approve SA Power Networks' proposed pass through amount of $30.5 million ($June 2020). This will allow SA Power Networks to upgrade its relays and enhance its voltage management systems.
The approved pass through amount will be recovered as follows over the next two regulatory years:
- $2,905,368 ($ nominal) to be recovered in 2023–24.
- $2,918,269 ($ nominal) to be recovered in 2024–25.