We also note that the offset in expenditure due to demand management ($2.160 million) is likely significantly understated given the previous success of Ausgrid's demand management activities in deferring the requirement for capex. This is discussed in section A.7. Table A.5 shows that applying the 31.45 per cent demand adjustment reduces the expenditure forecast on the 11kV capacity plan to $140.347 million ($2013–14). This is a reduction of $61.986 million ($2013–14) compared to Ausgrid's proposal of $202.334 million ($2013–14). Table A5 Demand adjustment to Ausgrid's 11kV capacity plan (million, $2013–14) 2014-15 2015-16 2016-17 2017-18 2018-19 Total Total 11kV 31,924 21,913 26,653 30,713 29,143 140,347 Capacity Plan Capacity 2,970 16,913 20,111 24,874 22,787 87,654 Augmentation 11kV DND 2,894 17,078 20,797 24,893 23,280 88,941 Model Results Major Projects -585 -605 -1,076 -353 -864 -3,484 Synergies Project Specific -58 -284 -344 -410 -384 -1,480 DM CBD Capacity 718 725 733 744 756 3,677 Other Works 2,027 630 1,891 917 1,436 6,900 Fault Level 1,100 0 1,124 0 579 2,803 Voltage 550 374 455 544 508 2,432 Regulation Substation 377 256 312 373 349 1,666 Connections Works in 22,264 0 18 0 0 22,281 Progress Support costs 4,664 4,371 4,634 4,922 4,920 23,511 Planning, 3,614 3,685 3,781 3,898 3,960 18,938 Forecasting and
We also note that the offset in expenditure due to demand management ($2.160 million) is likely significantly understated given the previous success of Ausgrid's demand management activities in deferring the requirement for capex. This is discussed in section A.7. Table A.5 shows that applying the 31.45 per cent demand adjustment reduces the expenditure forecast on the 11kV capacity plan to $140.347 million ($2013–14). This is a reduction of $61.986 million ($2013–14) compared to Ausgrid's proposal of $202.334 million ($2013–14). Table A5 Demand adjustment to Ausgrid's 11kV capacity plan (million, $2013–14) 2014-15 2015-16 2016-17 2017-18 2018-19 Total Total 11kV Capacity Plan 31,924 21,913 26,653 30,713 29,143 140,347 Capacity Augmentation 2,970 16,913 20,111 24,874 22,787 87,654 11kV DND Model Results 2,894 17,078 20,797 24,893 23,280 88,941 Major Projects Synergies -585 -605 -1,076 -353 -864 -3,484 Project Specific DM -58 -284 -344 -410 -384 -1,480 CBD Capacity 718 725 733 744 756 3,677 Other Works 2,027 630 1,891 917 1,436 6,900 Fault Level 1,100 0 1,124 0 579 2,803 Voltage Regulation 550 374 455 544 508 2,432 Substation Connections 377 256 312 373 349 1,666 Works in Progress 22,264 0 18 0 0 22,281 Support costs 4,664 4,371 4,634 4,922 4,920 23,511 Planning, Forecasting and 3,614 3,685 3,781 3,898 3,960 18,938
AER%20%E2%80%93%20Draft%20decision%20Ausgrid%20distribution%20determination%20%E2%80%93%20Attachment%206%20%E2%80%93%20%20Capital%20expenditure%20%E2%80%93%20November%202014_0.DOCX