A message from our Chief Executive Officer
Customers are at the centre of everything we do. It is therefore vital they are involved in developing our upcoming 2024-29 regulatory proposal for our regulated electricity networks in Darwin- Katherine, Alice Springs and Tennant Creek.
Our purpose as a business is to make a difference to the lives of Territorians and we have been consulting with our customers over the last year on their expectations of our business. We understand that our services are essential to everyday lives and our business community. It is important that we listen to our customers and embed their values, preferences and vision into our future strategies and plans.
These are exciting times to be in the energy industry. The shift to renewable energy started a decade ago with many customers installing solar on their roofs. Renewables are expected to supply 50 per cent of electricity consumed in Darwin- Katherine and Alice Springs by 2030.
The transition to renewables will be an engineering challenge but there are clear benefts to the NT from cleaner and more affordable energy.
The shift to renewables has been front of mind for our customers in our engagement sessions. We have laid out our vision of a being a key enabler in the NT’s transition to a 50 per cent renewable energy future by 2030. As the operator of the transportation network of electricity, we lie at the centre of the shift to renewables. We agree with our customers that now is the time to redesign and re-engineer our network.
In this Draft Plan, we have identified new initiatives to increase the network’s capacity to deliver two- way flows of energy using our customers’ household solar. We are also exploring our customers’ preference for an initiative to install community batteries that capture excess solar and would feed our energy system when the sun is not shining.
Our customers have also been telling us that we need to think long term to ensure the network remains reliable and secure. We have discussed challenges that lie ahead with replacing a significant proportion of assets installed after Cyclone Tracy. Our customers also want us to facilitate and fuel new technologies, including electric vehicles.
Our Draft Plan is being prepared at a time when financial markets are volatile. Financing costs are rapidly accelerating due to higher interest rates and global events in Ukraine. This has resulted in a forecast of revenue that is significantly above what we anticipated at the time of consulting with our customers in March and April.
The Draft Plan provides a good framework for further conversation on our plans going forward, particularly considering changing market conditions. We welcome your feedback.