icon-electricity SA Power Networks 2020 reliability standards review

  • Project Released: 4 Dec 2017
  • Project Closes: Dec 2018
  • Contact: Rowan McKeown

Overview

The Commission reviews the jurisdictional service standards that apply to SA Power Networks every five years, prior to the commencement of a new revenue regulation period. The Commission’s standards, established under the Electricity Act 1996, set reliability performance requirements for SA Power Networks.

This review will establish the reliability standards for SA Power Networks for the 2020-2025 period. Stakeholders will be given multiple opportunities to have their say. The Commission will make its final decision in December 2018.

 
 

Status

Current status is Draft

  • Initiate
  • Submissions
  • Draft
  • Submissions
  • Final

Draft

The Commission is seeking feedback on its draft decision on the review of the reliability framework that will apply to SA Power Networks from 1 July 2020 to 30 June 2025. Submissions should be provided by Friday, 14 September 2018. The Commission will consider all submissions and representations as it prepares its final decision, due to be released in December 2018.

The draft decision proposes four broad enhancements to the Commission’s current framework: 

  • maintaining reliability for regions 
  • refocusing GSL payments to customers with ongoing, persistent reliability issues, reducing the overall cost of the scheme
  • introducing standards for new communication channels, and 
  • increasing SA Power Networks’ direct accountability to its customers. 

Network reliability performance standards are proposed for ten regional supply areas, with performance targets requiring SA Power Networks to maintain reliability at current levels, rather than improve or reduce performance. The introduction of annual regional ‘report cards’ will assist customers to better understand SA Power Networks’ performance in their area and further increase SA Power Networks’ direct accountability for its reliability performance to its customers. These proposals are supported by results of the customer survey showing that 73 percent of customers are satisfied with current reliability outcomes, and the results of economic assessments which show no clear economic benefit in setting targets to improve performance. 

The draft decision also proposes amendments to the current GSL scheme. The key proposal is to better target customers with ongoing, persistent reliability issues by making a single payment based on the total duration of outages customers experience in a year. In the past, many GSL payments have been provided to customers who generally receive average or good levels of reliability, but have experienced a long one-off outage. Refocusing the GSL scheme will reduce the overall cost of the scheme. This is consistent with the feedback from the customer survey about finding ways to reduce the overall cost pressures on electricity prices, while also recognising those customers experiencing ongoing reliability issues.

Measures to monitor the timeliness, accuracy and overall quality of SA Power Networks’ communications with customers across various channels will be added to the existing telephone and written responsiveness requirements. This proposal will better reflect the diversity of the communication channels SA Power Networks’ customers currently use.

 

 

Receive Project Notifications

Mandatory field(s) marked with *