From the
editor’s desk…
Welcome
to Pipes & Wires #143. We start this month with some energy policy and
market issues in the UK, Australia and the US before moving on to 3 critical
regulatory determinations in Australia. This issue concludes with a look at 2
big mergers, 1 gas and 1 electric.
Matters for attention in NZ
Readers’
attention is drawn to the following matters…
· Changes to the requirements for connecting embedded generation to distribution.
· Increasing interest in ISO 55000:2014 in regard to asset management practices and systems, and
the associated withdrawal of BSI PAS 55:2008.
· Revised standard NZS 7901:2014 for Safety Management
Systems.
Energy policy & markets
UK – addressing the declining reserve capacity margin
Introduction
In
late 2012 Pipes & Wires #116 noted a report from Ofgem that predicted a really scary
scenario of the UK’s reserve capacity margin declining to about 4% by 2015/16.
This article revisits the reserve capacity margin issue in the context of
recent generation closures, and what is being done about restoring that margin.
The plant closures
The
following combined-cycle gas turbine generation plants have been proposed for
closure…
|
Plant |
Owner |
Capacity |
|
E.On |
900 MW |
|
|
Centrica |
665 MW |
|
|
Centrica |
244 MW |
|
|
Centrica |
235 MW |
|
|
Centrica |
360 MW |
These
plants are being increasingly displaced by wind, solar, open-cycle gas
turbines, and cheap imported electricity from Europe, so not surprisingly E.On
and Centrica are withdrawing them from the market. Readers might recall that
E.On is also withdrawing generation from the market in Germany for similar
reasons (refer to Pipes & Wires #123 and #138).
So what’s keeping the lights on ??
Overall
demand in the UK is falling, and there is increasing wind, solar and imports
however the CCGT’s that are still in the market (Damhead Creek, Marchwood and Pembroke B) are running to increasingly higher capacity factors. So
whilst the lights are staying on, it appears that there is not much wriggle
room for contingencies like prolonged cloud cover, no wind, plant breakdowns,
gas outages or import curtailments.
Possible approaches to restoring the margin
The UK
electricity system now includes a Capacity Market to move beyond the observed difficulties of paying
generators only for the MWh generated rather than the MW available to the grid.
There have been some bold pronouncements about how the Capacity Market will
ensure security and encourage investment to replace older generation and of
course to buffer renewables, but we might express the concern that perhaps
there is too much of a skew towards efficiency rather than stepping back and
asking what is effective.
Aus – developing a
consistent and integrated energy plan
Introduction
The
Australian government has recently released its Energy White Paper. This article examines the key themes of the Paper and
considers whether it really will deliver on the objectives set out in the
original terms of reference.
The terms of reference
In
amongst a lot of fine sounding political rhetoric, the terms of reference page
does mention many salient issues but it is actually hard to get a sense of
exactly what the White Paper will and will not address. Some of the salient
issues mentioned include…
· The major transformational changes in Australia’s energy
production, distribution and use.
· The need to address cost-of-living pressures and business
competitiveness.
· Securing long-term domestic energy needs.
· Maintaining international competitiveness whilst complying
with international obligations.
· Growing exports of energy products whilst also recognising
the increased coupling to global energy prices and volatility that will bring.
These
do seem to be pretty reasonable energy policy issues (although not necessarily
unique to Australia), however there is a clear statement that the resulting
White Paper will maintain downward pressure on costs while delivering greater
certainty and security of supply (again, pretty generic sort of stuff).
Key themes of the White Paper
The
key themes of the White Paper are…
· Increasing competition within the electricity, gas and
transport fuel sectors to keep prices down.
· Increasing energy productivity to promote growth.
· Investing in Australia’s energy future
Each
of these themes includes an extensive range of detailed actions.
So how likely is it to deliver ??
Indeed,
yes … how likely is it that the key themes of the White Paper will be delivered ?? A quick read of the detailed actions reveals
that most of them are things that the Australian government can very easily
implement by decree, such as market reform, preparation of strategies,
monitoring of prices, amending legislation etc, whilst only a few actions
involve things that the Australian government can’t control such as
international negotiations and global energy prices. So on the whole, it would
seem very likely that most of the detailed actions will be achieved.
US – overruling state-based transmission siting decisions
Introduction
Siting
of major electric transmission lines is obviously a very significant decision,
arguably one that should include the widest possible geographical
considerations. This article considers Senate Bill 1017 which proposes to amend the Federal Power Act to give the Federal Energy
Regulatory Commission (FERC) the power to overrule state-based regulators in
certain circumstances.
The FERC’s jurisdiction
The
FERC’s jurisdiction extends only to interstate transmission lines, and
therefore excludes transmission lines that are entirely within one single
state.
Key features of Senate Bill 1017
Senate
Bill 1017 proposes to amend s216 of the Federal Power Act. Key features
include…
· Maximising the nett benefits of the electricity system,
including establishing support of clean power generation distant from load
centers as a priority goal.
· Defining a High Priority Regional Transmission Project as a
project that is selected in a regional transmission plan for cost allocation
under FERC Order 1000.
· Provision for the FERC to overrule a state-based decision
regarding a high priority regional transmission project inter alia if the state-based authority doesn’t approve the
application within 1 year, rejects the application or subjects it to conditions
that are inconsistent with the purposes of SB 1017.
Progress of SB 1017
SB
1017 was introduced was introduced and assigned to a Congressional Committee on
21st April 2015 for consideration before progressing through the
House to the Senate and then to the President for signature. The GovTrack website suggests that SB 1017 has a 16% chance of getting through
the Committee and then a 7% chance of being enacted.
Pipes
& Wires will comment further as SB 1017 progresses.
Aus – Queensland delays retail electricity price
deregulation
Introduction
The
Australian state of Queensland had originally planned the introduction of
regionally phased retail competition on 1st July 2015 (refer to PW #124). This article examines the recent announcement that retail
price deregulation will be put on hold for a year.
What is the Queensland Government planning instead of deregulation ??
Part
of the year long delay will include a review by the Queensland Productivity
Commission which will include “independent experts” and a “thorough,
transparent process informed by widespread public opinion”, ostensibly to
balance a range of interests and to protect customers interests (as well as
improve living standards and create jobs). Hopefully that review will include
consideration of what has worked in other states.
Results of retail price deregulation in other states
Retail
price deregulation has led to a 9% decline in prices in South Australia and a
1.5% decline in prices in NSW, so on the face of it retail price deregulation
has worked well for customers.
Some possible outcomes
Possible
outcomes include…
· A thorough revision that includes consideration of what has
worked well in other states amalgamated with any unique features of Queensland,
with a follow through to deregulate on 1st July 2016.
· A back-down on deregulation, with a continuation of retail
price regulation across both the Energex and Ergon distribution networks.
It
would be naďve to think that ideological biases around the role of deregulated
markets won’t feature in the process. Pipes & Wires will pick up this story
again in mid-2016.
Regulatory decisions
South Australia – the 2015-2020 preliminary revenue
determination
Introduction
Last
year SA Power Networks submitted its Regulatory Proposal (rate case) to the Australian Energy
Regulator for the 5 year regulatory period beginning on 1st
July 2015. The AER released its’ Preliminary Determination on 30th April 2015, which is summarised in this
article.
The regulatory framework
The
regulatory framework has its basis in s7 of the National Electricity Law, which states the National Electricity Objective which is inter alia to promote efficient
investment in electricity services for the long-term benefit of consumers. Chapter 6 of the National Electricity Rules sets out the details for economic regulation of
distribution services.
Key features of the process to date
Key
features of the process to date include…
|
Parameter |
Initial
Proposal ($
nominal) |
Preliminary
Determination |
Final
Determination |
|
Total
OpEx |
$1,554m |
$1,334m |
|
|
Total
CapEx |
$2,485m |
$1,684m |
|
|
Opening
RAB |
$3,829m |
$3,829 |
|
|
Regulatory
depreciation |
$936m |
$554m |
|
|
Unsmoothed
revenue |
$4,782m |
$3,236m |
|
|
P0 |
4.3% |
28% |
|
|
X |
0% |
9.9% down to 1.1% |
|
Pipes
& Wires will comment further when the AER releases its Final Determination.
NZ – more WACC decisions
Introduction
The Commerce
Commission recently released its cost of capital determination for electricity distribution and for
Wellington Airport that will apply for year commencing on 1st April 2015. This
article examines the key features of that determination.
Regulatory frameworks
The respective
regulatory frameworks are…
·
Clauses 2.4.1 to
2.4.7 of the Electricity Distribution Services Input Methodologies
Determination 2012.
·
Clauses 5.1 to 5.7
of the Specified Airport Services Input Methodologies Determination 2010.
The wider
framework for setting WACC’s is s52T of the Commerce Act 1986 which sets out the matters covered by the Input Methodologies.
Key features of the electricity distribution WACC
Key features of
the electricity distribution WACC include…
|
|
25th
percentile |
Mid-point |
67th
percentile |
75th
percentile |
|
Vanilla WACC |
5.30% |
6.02% |
6.49% |
6.74% |
|
Post-tax WACC |
4.66% |
5.37% |
5.84% |
6.09% |
Key features of the Wellington Airport WACC
Key features of
the Wellington Airport WACC include…
|
|
25th
percentile |
Mid-point |
75th
percentile |
|
Vanilla WACC |
5.95% |
6.93% |
7.91% |
|
Post-tax WACC |
5.73% |
6.71% |
7.69% |
Previous WACC decisions
Some
of the Commissions’ previous WACC decisions are as follows.
|
WACC
decision applies to |
Approx
date |
Mid-point
WACC |
75th
(or 67th) percentile WACC |
|
All
electricity distribution for year starting on 1st April 2015. |
April
2015 |
Vanilla
6.02%, post-tax 5.37% |
Vanilla
6.49%, post-tax 5.84% |
|
Wellington
Airport for year starting on 1st April 2015. |
April
2015 |
Vanilla
6.93%, post-tax 6.71% |
Vanilla
7.91%, post-tax 7.69% |
|
Powerco
gas CPP application before April 2016. |
March
2015 |
Vanilla
6.70% to 6.72% |
Vanilla
7.23% to 7.25% |
|
Maui
Developments for 2016 disclosure year |
January
2015 |
Vanilla
7.08% |
Vanilla
7.89% |
|
Vector,
GasNet CPP application before December 2015. |
December
2014 |
Vanilla
7.11%, 7.14%, 7.22% |
|
|
All
electricity CPP applications after 30th September 2014. |
September
2014 |
Vanilla
6.58%, 6.64%, 6.72% |
|
|
Auckland,
Christchurch Airports for 2015 disclosure year. |
July
2014 |
Vanilla
7.64% |
Vanilla
8.63% |
|
Vector,
GasNet for 2015 disclosure year. |
July
2014 |
Vanilla
7.54% |
Vanilla
8.35% |
|
Transpower
for 2015 disclosure year. |
July
2014 |
Vanilla
6.83% |
Vanilla
7.55% |
|
Wellington
Airport for 2015 disclosure year. |
April
2014 |
Vanilla
7.70% |
|
|
EDB’s
for 2015 disclosure year. |
April
2014 |
Vanilla
6.89% |
|
|
Powerco
gas CPP applications before March 2015. |
March
2014 |
Vanilla
5-year 7.54% |
Vanilla
5-year 8.35% |
|
Maui
pipeline (gas transmission). |
January
2014 |
Vanilla
7.64%, post-tax 6.85% |
|
|
Vector,
GasNet CPP applications before December 2014. |
December
2013 |
Vanilla
7.56% |
|
|
All
CPP applications before 30th September 2014 |
September
2013 |
Vanilla
from 6.26% to 6.69% |
Vanilla
from 6.97% to 7.41% |
|
Transpower |
July
2013 |
|
Vanilla
6.85% , post-tax 6.17% |
|
Vector
gas distribution, GasNet |
July
2013 |
|
Vanilla
7.65%, post-tax 6.97% |
|
Auckland
& Christchurch airports |
July
2013 |
|
Vanilla
8.00%, post-tax 7.75% |
|
All
electricity distribution |
April
2013 |
|
Vanilla
6.83%, post-tax 6.14% |
|
Maui
pipeline (gas transmission) |
February
2013 |
|
Vanilla
7.46%, post-tax 6.80% |
|
All
gas distribution and gas transmission DPP’s |
December
2012 |
|
Vanilla
6.63% |
|
Vector,
GasNet CPP’s |
December
2012 |
Vanilla
6.39% (5 years) |
|
|
Powerco
gas distribution |
October
2012 |
Vanilla
6.83%, post-tax 6.12% |
|
Queensland – the 2015-2020 preliminary revenue
determinations
Introduction
Last
year both Energex and Ergon Energy submitted their Regulatory Proposals (rate cases) to the Australian Energy
Regulator for the 5 year regulatory period beginning on 1st
July 2015. The AER released its’ Preliminary Determinations on 30th April 2015, which are summarised in this
article.
The regulatory framework
The
regulatory framework has its basis in s7 of the National Electricity Law, which states the National Electricity Objective which is inter alia to promote efficient
investment in electricity services for the long-term benefit of consumers. Chapter 6 of the National Electricity Rules sets out the details for economic regulation of
distribution services.
Key features of the process to date (Energex)
Key
features of the process to date include…
|
Parameter |
Initial
Proposal ($
nominal) |
Preliminary
Determination |
Final
Determination |
|
Total
OpEx |
$1,738m |
$1,877m |
|
|
Total
CapEx |
$3,240m |
$2,362m |
|
|
Opening
RAB |
$11,313m |
$11,334m |
|
|
Regulatory
depreciation |
$502m |
$455m |
|
|
Smoothed
DUOS revenue |
$9,832m |
$8,132m |
|
|
P0 |
0% |
40% |
|
|
X |
2% |
From -17% to 5% |
|
Key features of the process to date (Ergon)
Key
features of the process to date include…
|
Parameter |
Initial
Proposal |
Preliminary
Determination |
Final
Determination |
|
Total
OpEx (nominal) |
$2,035m |
$1,788m |
|
|
Total
CapEx (real) |
$3,555m |
$2,182m |
|
|
Opening
RAB |
$10,041m |
$10,102m |
|
|
Regulatory
depreciation |
$904m |
$654m |
|
|
Unsmoothed
revenue |
$8,229m |
$6,012m |
|
|
P0 |
15.85% |
37% |
|
|
X |
Varies |
From -14% to 6% |
|
Pipes
& Wires will comment further when the AER releases its Final Determinations.
NSW, ACT – the final electricity revenue decisions
Introduction
The Australian Energy
Regulator (AER) has recently released its Final Decisions for the electricity distributors in the Australian state of
New South Wales (NSW) and the Australian Capital Territory (ACT) that will
apply for the 4 years until 30th June 2019 (noting that the period 1st
July 2014 to 30th June 2015 was covered by a transitional period
discussed in Pipes & Wires #133). This article compares the parameters sought in each of
the 4 Regulatory Proposals with the AER’s Final Decisions.
Legal framework
The
legal framework for the electricity distribution decisions is Chapter 6 of the National Electricity Rules, which is made pursuant to the National Electricity (South Australia) Act 1996.
Summarising the decisions to date
· Key parameters of ActewAGL’s Final Determination include…
|
Parameter |
Proposal |
Draft
Decision |
Final
Decision |
|
Total
revenue |
$892m |
$576m |
$764m |
|
OpEx |
$384m |
$223m |
$241m |
|
CapEx |
$372m |
$244m |
$311m |
|
Depreciation |
$180m |
$177m |
$185m |
|
Opening
RAB |
$850m |
$850m |
$891m |
|
WACC |
8.99% |
6.88% |
$6.38% |
· Key parameters of the AusGrid Final Determination include …
|
Parameter |
Proposal |
Draft
Decision |
Final
Decision |
|
Total
revenue |
$12,189m |
$8,848m |
$8,785m |
|
OpEx |
$2,888m |
$1,759m |
$2,181m |
|
CapEx |
$4,421m |
$2,546m |
$3,201m |
|
Depreciation |
$829m |
$825m |
$918m |
|
Opening
RAB |
$14,370m |
$14,287m |
$14,752m |
|
WACC |
8.83% |
7.15% |
6.68% |
· Key parameters of the Endeavour
Energy Final Determination include …
|
Parameter |
Proposal |
Draft
Decision |
Final
Decision |
|
Total
revenue |
$5,256m |
$3,997m |
$4,132m |
|
OpEx |
$1,489m |
$1,068m |
$1,325m |
|
CapEx |
$1,746m |
$1,070m |
$1,596m |
|
Depreciation |
$400m |
$400m |
$432m |
|
Opening
RAB |
$5,593m |
$5,599m |
$5,944m |
|
WACC |
8.83% |
7.15% |
6.68% |
· Key parameters of the Essential
Energy Final Determination include …
|
Parameter |
Proposal |
Draft
Decision |
Final
Decision |
|
Total
revenue |
$6,824m |
$4,970m |
$5,118m |
|
OpEx |
$2,513m |
$1,552m |
$1,755m |
|
CapEx |
$2,618m |
$1,934m |
$2,401m |
|
Depreciation |
$612m |
$613m |
$632m |
|
Opening
RAB |
$6,770m |
$6,685m |
$7,187m |
|
WACC |
8.83% |
7.15% |
6.68% |
This
article concludes Pipes & Wires coverage of the NSW and ACT determinations.
However the extensive cuts in proposed revenue has ignited the debate on what
future the privatisation of the NSW distributors has.
People in power
This
series of historical interest articles follows on from a similar series a few
years ago, and examines the lives and achievements of electrical pioneers that
were born in the last few decades of the 1800’s.
Francis
Kanthack – a cool dude
Birth,
early years and education
Francis Edgar Kanthack was born in West Derby, England
in 1872, apparently of German descent. His education was in Liverpool, England
until the age of 13 whereupon his education continued in Germany and then back
in England at the Royal Indian Engineering College in London until 1894. He
then completed an apprenticeship at the Cardiff Water Works.
Early
career
Francis’ first job started in 1895 in the Punjab with
the irrigation authority, during which time he married Rosa Higham and went on
to have 1 son and 2 daughters. Around 1906 he started on a 2 year furlough and
also took up a 2 year contract as a water adviser to the Cape Colony government
in South Africa. Life in Africa proved to be pretty sweet so in 1908 Francis
quit his Indian job and became the permanent head of the Cape’s irrigation
department. After the Union was formed in 1910, Francis then became the
national director of irrigation until 1920 during which time he consolidated
hydrography and meteorological activities into a national bureau as well as
directing several major irrigation projects.
Life
after government service
Around 1920 Francis resigned from the government and
launched out in private practice in Johannesburg as FE Kanthack & Partners
specialising in hydro-electric engineering projects. As well as proving to be a
bit of an all-round clever chap with reinforced concrete, Francis designed the
cooling water systems for several thermal power stations and is best remembered
for his expertise with concrete cooling towers, proving that he was indeed a “cool”
dude.
Retirement
& later years
Francis was appointed to the council of the University
of Witwatersrand in 1938, from which he was awarded an honorary D.Sc degree in
1942. He remained a member of the council until he retired in 1959, having been
chairman since 1953. Francis died in 1962 at the age of 90, however his legacy
continues on in the consulting firm carried on by his former partners Tom
Watermayer, Hugh Legge, David Piesold and Hans Uhlman which now operates
globally as Knight Piesold Consulting.
Mergers & acquisitions
Global – Shell takes a poke at British Gas
Introduction
It’s been a while
since Pipes & Wires has examined the global gas sector, so the recent
announcement that Shell is proposing to acquire British Gas provided a good opportunity to write about something just a bit
different. This article examines the key features of the proposed acquisition.
The parties
The parties to the
proposed acquisition are…
· Royal Dutch Shell, a global energy & petrochemicals company
operating in 70 countries with annual earnings of about US$12b and operating
cashflow of about US$30b.
· British Gas Group (BG), an exploration, production and LNG company
operating in 24 countries with annual earnings of about US$4b.
The deal structure
The deal is a
cash-plus-shares offer as follows…
· 0.5 Shell B shares, and
· Ł3.83 cash.
for each BG share,
valuing BG at about Ł13.50 per share which was about a 50% premium. This values
BG at about Ł47b and the merged company at about Ł180b.
The markets’ response
The markets’
response was somewhat mixed…
· BG shares jumped almost 35%.
· Shell’s 2 UK listings fell 2% and 5% respectively, suggesting Shell
shareholders are less than enthusiastic about it.
BG’s board has recommended that shareholders accept
the offer.
Shell’s strategy
Shell’s strategy
seems focused on increasing its dominance in the global LNG market, apparently
to reduce its exposure to increasingly volatile oil prices. A couple of key
elements of this strategy include…
· Reduced exploration expenditure focused on fewer but larger projects.
· Complementing each other’s North American and Australian LNG businesses.
· Consolidating mature up-stream activities that deliver higher returns on
capital.
· Bringing new production regions into the wider Shell group.
Pipes & Wires will comment further as the
merger plans progress.
US – progress on the We Energies – Integrys merger
Introduction
Pipes & Wires #141 examined the early stages of We Energies $9.1b bid for Integrys Energy
Group and noted a number of regulatory approvals that were required. This
article notes one of those approvals along with a number of conditions.
The proposed merger
The
proposed merger is a combined stock, cash and assumption of debt deal totaling
$9.1b which values Integrys at $71.47 per share. The merged company would
supply 1,490,000 electric customers and 2,445,000 gas customers and would be
headquartered in Milwaukee.
Progress on the required approvals
Progress on the
required approvals is as follows…
|
Regulator |
Progress on
approval |
|
Federal Energy Regulatory Commission. |
Approved in
mid-April 2015, stating that there would be no cross-subsidy of a non-utility
associate company. |
|
Wisconsin Public Service Commission. |
Approved in late
April 2015, but with several conditions. |
|
|
Still to reach a
decision, possibly in July 2015. |
|
Michigan Public
Service Commission. |
Approved in
mid-April 2015. |
|
Minnesota Public Utilities Commission. |
Still to reach a
decision. |
Conditions on the Wisconsin PSC decision
The Wisconsin PSC
has imposed the following 2 conditions on its approval…
· Any profit over and above the authorised return on equity would need to
be returned to We Energies customers.
· A gas-fired generation plant proposed by We Energies subsidiary
Wisconsin Public Service is to be abandoned.
Pipes & Wires will comment further as Illinois
and Minnesota release their decisions.
Asset strategy & management
Withdrawal of asset management standard PAS 55:2008
Readers
should note that the asset management standard PAS 55:2008 was withdrawn on 1st
February 2015, and effectively superseded by ISO 55000. That doesn’t mean that
all the hard work of achieving PAS 55 certification is now worthless, but
rather that the internationally consistent ISO 55000 is now the preferred
standard. To discuss how your company can move towards ISO 55000 certification,
pick here.
Cool stuff
Newly published book – “Keeping The Lights On”
Well-known
electricity historian and author Helen Reilly has recently published her latest
book “Keeping The Lights On – The History Of System Operations In New Zealand
1939 – 2013”. Pick here to order your copy for only $46.50 from Grid Heritage. It’s
a thoroughly good read, and complements Helen’s previous book “Connecting The
Country”.
Recent client projects
Here’s
a sample of work done for clients over the last few years that demonstrate the
breadth of skills, insight and experience that is available from Utility
Consultants....
· Advising a major global investment bank on the revenue and
capital cost characteristics of the New Zealand generation industry.
· Assessing the investment characteristics of proposed CapEx
increases to an investor-owned electric network.
· Assessing three EDB’s asset management practices against ISO
55000:2014.
· Assessing an EDB’s compliance with the lines – generation
separation requirements of the Electricity Industry Act 2010.
· Assessing an EDB’s compliance with the Electricity Industry
Participation Code.
· Compiling safe operating procedures for a wide range of
distribution switches.
· Advising an investor on the investment characteristics and
regulatory constraints of small hydro development and grid connection.
· Reviewing the engineering aspects of an EDB’s lines pricing
methodology.
· Advising a major global consultancy on specific features of
emerging electricity transmission and distribution regulatory regimes,
including period length, potential for re-opening determinations, caps &
collars, total expenditure levels and incentive mechanisms.
· Examining the economic efficiencies of an EDB’s pricing
methodologies.
· Advised on the wider philosophical and potential tax issues
of the way consumer discounts are paid by EDB’s.
· Prepared an independent engineer’s report to justify
proposed alternative asset lives.
· Advised an electricity business on the regulatory
implications of bringing externally contracted field services back in-house.
· Identified economic and regulatory arguments to support
inclusion of transmission interconnection charge risk into network tariffs.
· Advised lines businesses on a regulator’s proposed treatment
of CapEx and OpEx.
· Advised an international investor on gas distribution policy
and regulatory trends.
· Identified national energy policy implications for lines
businesses.
· Assisted a lines business to identify the burden of proof
implied by regulatory determinations.
· Suggested amendments to a gas transmission AMP to strengthen
the economic arguments.
· Identified electricity network investment characteristics as
part of an acquisition study.
· Developed an AM framework for a gas distribution business to
link AM to regulatory requirements.
· Identified OpEx – CapEx tradeoffs for an electricity lines business.
· Performed various substation growth and reinforcement
assessments.
· Performed network physical and business risk studies.
· Compiled disaster recovery and business continuity plans.
Pick here to download a profile of recent projects, or here to contact Phil.
General stuff
Guide to NZ electricity laws
I’ve
compiled a “wall chart” setting out the relationship between various past and
present electricity Acts, Regulations, Codes etc in sort of a chronological
progression. To request your free copy, pick here. It looks really cool printed in color as an A2 or A1 size.
A bit of light-hearted humor
What
if price control had been around in the 1920’s and 1930’s ? A collection of
photo’s with humorous captions looks at some of the salient features of price
control. Pick here to download.
Conferences & training courses
The
following conferences and training courses are planned...
· ACCC/AER Regulatory Conference, 6th – 7th August 2015,
Brisbane.
· Fundamentals of the NZ electricity industry, 7th – 8th September 2015,
Wellington.
· Fundamentals of the NZ electricity industry, 19th – 20th October 2015,
Auckland.
Utility
Consultants takes no responsibility for the content of individual courses or
conferences, nor for any administrative or travel arrangements.
Wanted – old electricity history books
If
anyone has an old copy of the following books (or any similar books) they no
longer want I’d be happy to give them a good home…
· Economic Operation Of Power Systems (Kirchmayer).
· Distribution Of Electricity (WT Henley, the cable
manufacturer)
· Northwards March The Pylons.
· Two Per Mile.
· Live Lines (the old ESAA journal).
· The Engineering History Of Electric Supply In New Zealand.
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Disclaimer
These articles are
of a general nature and are not intended as specific legal, consulting or
investment advice, and are correct at the time of writing. In particular Pipes
& Wires may make forward looking or speculative statements, projections or
estimates of such matters as industry structural changes, merger outcomes or
regulatory determinations. These articles also summarise lengthy documents, and it is important that readers refer to those
documents in forming opinions or taking action.
Utility
Consultants Ltd accepts no liability for action or inaction based on the
contents of Pipes & Wires including any loss, damage or exposure to
offensive material from linking to any websites contained herein, or from any
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