Transgrid must show that the preferred option for maintaining reliable supply in the North West Slopes area will deliver the greatest net benefits to energy consumers. The net benefits delivered by the project are assessed using the Regulatory Investment Test for Transmission (RIT-T) administered by the Australian Energy Regulator (AER).
The RIT-T assesses network and non-network solution options from a technical and economic perspective by:
- Informing stakeholders of the investment need and proposed options to address this need
- Testing the market for alternative and more efficient solutions
- Explaining to stakeholders the basis on which the preferred option has been selected.
We have now completed the final stage of the RIT-T and after assessing multiple options, identified that options involving non-network solutions coupled with network upgrades are preferred over solely network options.
Project Specification Consultation Report
In April 2021 we published a Project Specification Consultation Report (PSCR), the first step in the RIT-T process.
The PSCR detailed the need to maintain reliable supply in the North West Slopes area and describes credible options to meet the need, including technical characteristics that would be required of a non-network option.
We did not receive any submissions directly to the PSCR, however two parties responded to an Expression of Interest which was published alongside the PSCR to explore possible non-network solutions that could meet or assist with meeting the Identified Need.
Both parties requested confidentiality, therefore we have not reproduced any of their material in the PADR or on our website.
Project Assessment Draft Report
The Project Assessment Draft Report (PADR) , published in February 2022, provides transparency into the planning considerations for investment options to stabilise the Northern NSW power system, and the associated market benefits. A key purpose of this PADR, and the RIT-T more broadly, is to provide interested stakeholders the opportunity to review the analysis and assumptions, provide input to the process, and have certainty and confidence that the preferred option has been robustly identified as optimal.
Submissions received in response to the PSCR were considered when preparing the PADR. The PADR includes a full quantitative analysis of the proposed options and expected net market benefit across a range of scenarios and sensitivities. We have published the following supporting documents: