The Australian Energy Regulator (AER) has given South Australian network operator ElectraNet approval to begin work on its Northern Transmission Project (NTx) Stage 1, which will connect renewable energy sources to Adelaide and support growing industrial demand.
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The $45.7 million Stage 1 Northern Transmission Project (NTx) will see ElectraNet build new 275kV and 132kV transmission lines to strengthen connections between the Mid North, Greater Adelaide and the Upper Spencer Gulf (Whyalla).
“We have assessed that ElectraNet’s proposed incremental capital expenditure for these early works is prudent and efficient. We also determined that all trigger events for this contingent project application have been met and the project costs exceed the materiality threshold,” the AER said in a statement.
The Stage 1a early works costs approved by the AER will be added to ElectraNet’s total maximum allowed revenue for the 2023–28 period. This adjustment will be reflected in customer bills from 2026–27 onwards, with an estimated increase of $0.56 per annum in residential electricity bills in South Australia.
ElectraNet welcomed the AER’s decision.
“This decision will allow us to continue with project development activities, including stakeholder and community engagement, to determine the most prudent and efficient way to meet the identified need that optimises overall community and customer benefit,” it said in a statement.
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“These early works will inform a detailed cost benefit analysis for the RIT-T that aims to deliver an expanded and more reliable transmission network to meet the demand of our rapidly growing Northern regions in South Australia.”
