Today we commenced public consultation on Essential Energy’s contingent project application for its bushfire risk reclassification project.
Essential Energy has proposed $102.0 million ($ real 2024-25) of capital expenditure to undertake widening of vegetation corridors and the installation of some stand-alone power systems in newly identified high bushfire risk areas. This project relates to the NSW Bushfire Coronial Inquiry, which made recommendations in March 2024 regarding Essential Energy’s revision of bushfire risk modelling. Essential Energy’s incremental revenue forecast to deliver this project is $4.4 million ($ nominal) over the 2024-29 period. The estimated average yearly bill impact for a typical residential and small business customer is $1 and $2 respectively from 2025-29.
Invitation for submissions
Submissions are invited on Essential Energy’s contingent project application for its bushfire risk reclassification project and are due by 15 January 2025. Interested stakeholders are invited to send submissions to contingentprojects
aer [dot] gov [dot] au (contingentprojects[at]aer[dot]gov[dot]au).
Background
A contingent project application outlines the amount of revenue a business seeks to recover from its customers to deliver a project.
Our role is to review the prudency and efficiency of the proposed costs within the application to ensure consumers pay no more than necessary. We expect to make a decision on the application in the coming months.