Transend - Appendix 5 Renewal capital expenditure - Australian ...

� replacement of the 110 kV Meadowbank – New Norfolk transmission line protection;
0BInvestment Evaluation Summary
TNM-GS-809-0720
� extend the switch house to provide for the planned replacement of the secondary and ancillary equipment; and
� replacement of the substation supervisory control and data acquisition (SCADA).
Figure 2 presents a summary of the age of the key 110 kV assets (by category) at Meadowbank Substation by asset
replacement cost (note that the scope of the project does not include replacement of the power transformers,
disconnectors or high voltage switchgear and associated protection). Figure 2 clearly illustrates that the vast majority of
the assets included in the Meadowbank Substation 110 kV redevelopment project are well beyond their nominal service
lives of 45 years for primary assets and 15 years for secondary assets as defined by Sinclair Knight Merz in its
‘Assessment of Economic Lives for Transend Regulatory Asset Classes’ report provided as attachment 24 to Transend’s
revenue proposal.
Figure 2 – Summary age and value ($000) of major equipment installed at Meadowbank Substation
3 PROJECT TIMING
The timing of this project has been co-ordinated with the prioritised 110 kV circuit breaker replacement program and the
overall capital works program. The project is currently scheduled to commence in 2012 and be completed in 2014.
4 INVESTMENT NEED
This project is required to achieve the following capital expenditure objectives identified in clause 6A.6.7(a) of the
National Electricity Rules:
� comply with all applicable regulatory obligations or requirements associated with the provision of prescribed
transmission services;
� maintain the quality, reliability and security of supply of prescribed transmission services; and
� maintain the reliability, safety and security of the transmission system through the supply of prescribed transmission
services.
The key investment driver for this project is to address identified safety, condition, reliability and design risks associated
with primary and secondary assets at Meadowbank Substation.
© Transend Networks Pty Ltd 4 of 12