Legislative Council Tuesday 10 November, 2020

Ms FORREST question to LEADER of the GOVERNMENT in the LEGISLATIVE COUNCIL, Mrs HISCUTT

As noted in Hydro Tasmania’s recently released 2019/20 Annual Report a significant write down of generation assets was recorded due to reductions in future expected revenue. 

Noting that Marinus Link business case is based on estimates of future electricity prices;
1. Will TasNetworks review the business case; and
a. If not, why not?

ANSWER:

Q.1 TasNetworks has recently reviewed the economic case for Marinus Link. Details of this work are contained in the Regulatory Investment Test for Transmission Supplementary Analysis Report.
The updated modelling undertaken by TasNetworks clearly demonstrates the role that Marinus Link can play in the future NEM – which is consistent with the findings of the 2020 ISP. The benefits provided by Marinus Link are predominately in providing access to Tasmania’s dispatchable hydro capacity and high quality wind resources, which will lead to price savings for customers in the NEM compared to a situation where Marinus Link is not commissioned.