ElectraNet apply for funding for Eyre Peninsula project

A funding application has been lodged for a $290 million project to provide the Eyre Peninsula with a new transmission line, with construction planned for next year.

On Wednesday the Australian Energy Regulator released ElectraNet's application, known as a Contingent Project Application to approve funding for the 'Eyre Peninsula Link' project, which is the final regulatory approval needed under the National Electricity Rules.

The project will involve building a new double-circuit 132 kV transmission line from Cultana to Port Lincoln, via Yadnarie, with the ability to upgrade the Cultana to Yadnarie section to 275 kV in the future.

Substation works are also planned at Yadnarie, Cultana, Middleback, Wudinna and Port Lincoln.

ElectraNet has costed the project in the application at $290 million and subject to approvals expects construction to start by April 2021.

The organisation's chief executive Steve Masters said the project would improve power security and reliability to households and businesses across Eyre Peninsula, while avoiding the cost of upgrading the existing line.

"We have ensured that the project can be delivered as efficiently as possible for all electricity customers, with its cost adding about $1 annually to a 'typical' residential power bill," he said.

"This project is expected to create numerous local jobs and boost the regional economy during construction as well as the ongoing benefits that come with a more reliable power supply."

In the lead up to construction works ElectraNet has awarded an Early Contractor Involvement contract to Downer Utilities Australia.

The regulator will determine efficient capital and operating costs for the project and is inviting written submissions on ElectraNet's contingent project application by close of businesson June 24.

The regulator is anticipated to make a decision on the application by August.