System Security Roadmap Operational Technology Upgrades

The electricity system in NSW is currently undergoing a period of transformation, with several factors driving increased complexity in power system planning and operations.  This transformation is driving a substantial increase in information and analysis requirements across our operational control and operational planning functions, particularly due to an increase in the number and new types of transmission assets, in combination with unprecedented changes in generation and load interacting with our network.

Transgrid is applying the Regulatory Investment Test for Transmission (RIT-T) to options for upgrading its operational technology (OT) in its control rooms and offices. This may involve enhancements to Transgrid’s existing core OT capabilities, as well as new capabilities.

Transgrid must show that the preferred option for upgrading its OT will deliver the greatest net benefits to energy consumers. The net benefits delivered by the project are assessed using the RIT-T administered by the Australian Energy Regulator.

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.

In October 2024 we published a Project Specification Consultation Report (PSCR), the first step in the RIT-T process. The PSCR detailed the need to upgrade Transgrid’s OT and describes credible options to meet the need. We received one submission in response to the PSCR which was approved for publication:

• Energy Consumers Australia 

The Project Assessment Draft Report, published in May 2025, provides transparency into the considerations for investment options to upgrade Transgrid’s operational technology, 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:

• Security Roadmap Operational Technology Upgrades PADR
• Security Roadmap Operational Technology Upgrades PADR NPV Model Outcomes
• Modern Control Room PADR Explainer (document link to be provided at a later date)
• Security Roadmap Operational Technology Upgrades EPRI Report

Transgrid welcomes written submissions on materials contained in the PADR. Submissions must be made via email to regulatory.consultation@transgrid.com.au Submissions are due on 24 June 2025.

Following the PADR consultation period, we will develop a Project Assessment Conclusions Report (PACR), the final stage of the RIT-T.

If you have any questions about the project, please contact network.solutions@transgrid.com.au or phone 1800 222 537.