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Measuring DNSP Outputs for Economic Benchmarking AER Economic Benchmarking Workshop #4 30 April 2013 Denis Lawrence and John Kain Main Issue Data requirements Are there any variables missing from table 1 in section 3.2 that should be there? Are the definitions proposed appropriate for economic benchmarking? Should any of the definitions be altered to ensure consistency across DNSPs? www.economicinsights.com.au 2 Other Issues • • • • • Calculating output weights Including reliability measures as outputs Scope of services to include System capacity or peak demand? Which peak demand? www.economicinsights.com.au 3 Output Specification #1 Quantity Customers (No) Value Revenue * Cost share Price Value / Customers System capacity (kVA*kms) Revenue * Cost share Value / kVA*kms Throughput (GWh) Revenue * Cost share Value / GWh Interruptions (Customer mins) –1 * Customer mins * VCR per customer minute –1 * VCR per customer minute www.economicinsights.com.au 4 Output Specification #2 Quantity Customers (No) Smoothed non–coincident peak demand (MVA) Throughput (GWh) Interruptions (Customer mins) www.economicinsights.com.au Value Price Revenue * Cost share Revenue * Cost share Value / Customers Value / MVA Revenue * Cost share –1 * Customer mins * VCR per minute Value / GWh –1 * VCR per customer minute 5 Output Specification #3 Quantity Value Price Residential Customers (No) Commercial Customers (No) Sml Industrial Cust’rs (No) Lge Industrial Customers (No) Interruptions (Customer mins) Revenue * Cost share Revenue * Cost share Revenue * Cost share Revenue * Cost share –1 * Customer mins * VCR per customer minute Value / Res Customers Value / Comm Customers Value / Sml Ind Cust’rs Value / Lge Ind Cust’rs –1 * VCR per customer minute www.economicinsights.com.au 6 Operating environment short list Variable Density factors Definition Source Customers/route kilometre of line MWh/customer kVA non–coincident peak demand (at zone substation level)/customer RIN RIN RIN Extreme heat days Number of extreme cooling degree–days (above, say, 25° C) BoM Extreme cold days Number of extreme heating degree–days (below, say, 12° C) BoM Extreme wind days Number of days with peak wind gusts over, say, 90 km/hour BoM Number of days over 50 per cent of service area subject to severe or higher bushfire danger rating Percentage of route line length classified as short rural or long rural Percentage of route line length requiring active vegetation management BoM & FAs Route length of lines RIN Customer density Energy density Demand density Weather factors Terrain factors Bushfire risk Rural proportion Vegetation encroachment RIN DNSPs Service area factors Line length www.economicinsights.com.au 7