Power to grow for Baulkham Hills

11 September 2008

 

Integral Energy today announced it was investing $160 million in the Baulkham Hills area over the next five years to expand the local electricity network and ensure reliability for families and businesses in one of Sydney’s fastest growing regions.

 

Integral Energy delivered a special briefing to Baulkham Hills Shire Council today about the planned investment which includes the $53 million Cheriton Avenue Zone Substation at Castle Hill announced by the NSW Government in June.

 

Other projects in the Baulkham Hills region being planned for the next five years include:

 

•         New Zone Substation at Mungerie Park ($46 million);

•         Upgrade of the Kenthurst Zone Substation ($21 million);

•         Castle Hill Zone Substation upgrade ($17 million); and

•         Jasper Road Zone Substation switchgear renewal ($5 million)

 

Integral Energy Chief Executive Officer Vince Graham said the investment was part of Integral Energy’s $4.5 billion 2009-2014 plans currently before the independent national regulator.

 

“This energy boost is necessary to meet the demands of growth, improve reliability and replace aging ‘baby boomer’ electricity assets, built from the 1960s to the 1980s,” Mr Graham said.

 

“With population growth still soaring in many parts of Sydney, particularly the north-west, it is important that we plan now so we can continue to deliver reliable electricity supplies to 2.1 million people we service in Sydney’s Greater West, the Blue Mountains and the Illawarra into the future.”

“The demand for electricity in the Baulkham Hills Shire is expected to grow by more than nine per cent over the next three years.”

 

Mr Graham said the investment followed Integral Energy’s $2.9 billion infrastructure program to improve reliability and service from 2004 to 2009.

 

“This investment delivered new electricity substations to suburbs that were still in the planning stages five years ago, along with five new Integral Energy field service centres to ensure fast response times for customers.

 

“It also improved reliability performance by 25 per cent, especially important in suburbs where home businesses, dependent on the internet, have flourished.

 

“And it has helped to meet ‘peak demand’ - caused when the electricity system works its hardest on just a few of the hottest and coldest days each year.”

 

Mr Graham said 10 per cent of Integral Energy’s electricity assets, worth about $400 million, were needed for just 11 days of the year which was partly due to the enormous popularity of air conditioners.

 

“Ten years ago only 25 percent of homes had air conditioning.  Today it has climbed to 74 percent in Western Sydney,” he said.

 

Integral Energy expects to recruit 400 staff for growth and attrition and create 300 new apprenticeships over the next five years to deliver its investment program on schedule.

 

To meet this investment, residential customers’ bills would increase from July 2009 by about $1.70 per week ($89 per year) and business customers’ bills would increase by $5.80 per week ($301 per year).

 

“Going forward, we’re concerned that we balance essential investment in our network with efforts to keep electricity prices affordable,” Mr Graham said.

 

“We’ve planned $76 million in productivity savings and efficiencies to keep prices fair. We'll also continue our drive to give households and businesses the knowledge and tools to reduce their energy consumption, especially during times of peak demand.”