Keeping perspective - Powercor
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Keeping perspective
While we prepare
for the future we’re
keeping perspective
on what’s important
CONTENTS
2 Message from the CEO
4 Our track record
7 Delivering on our commitments
8
10
Performance overview
Never compromising on safety
1,13
Number of
customers
in 2017
12 Responsible and safe operations
14 Investing in our people
16 Making it easy for our customers
20 Connecting with our communities
24 Investing in a smarter, more
efficient network
30 Preparing for the future
CitiPower and Powercor are the most
efficient and reliable urban and rural
electricity distribution networks in the
country. We employ nearly 2,000 people
in 15 offices and depots in Melbourne and
across central and western Victoria.
CitiPower
34,072
Powercor
Message from
the CEO.
It is my pleasure to present our Annual Review for 2017.
I am pleased to report that CitiPower and Powercor continued to
perform well throughout the year, maintaining our commitment to
providing customers with a safe, reliable and importantly,
affordable electricity supply.
2 CitiPower and Powercor 2017 Annual Review
Message from the CEO
In 2017 we delivered 99.99% and These outcomes clearly demonstrate our services.
99.97% reliability for CitiPower and that our networks are as relevant today The perspectives that our customers
Powercor customers respectively, to customers as they have ever been. and stakeholders share with us today
driven by a continued focus on robust While this may be the case, we are about how they value and prioritise
asset management and maintenance focused on planning for the future energy for themselves and their
programs as well as responsible and while maintaining our perspective on communities, as well as their role in
targeted investment in upgrading and the things that matter most to our the new energy markets provides the
replacing our assets. customers – safety, reliability and foundations of how we think about
Our networks are the most cost-efficient affordability. planning and managing a more flexible
distributors in the country, with the With this in mind we are integrating the network that is the backbone of
Australian Energy Regulator’s 2017 most cost-effective processes, policies enabling customer choice, preference
Annual Benchmarking Report ranking and technologies to deliver a more and the utilization of new technologies.
Powercor and CitiPower first and intelligent and responsive network that I would like to take this opportunity
second for operating expenditure delivers better, and equitable, customer to thank our employees and partners
productivity, and fourth and first for total and community outcomes while for their contribution and support
productivity. The report also showed that reducing average long-term electricity throughout the past year, and together
Powercor is the highest utilised network network charges to customers. This will we look forward to working with our
in the National Energy Market at 68 per ensure our services continue to be the customers, stakeholders and
cent, while CitiPower’s utilisation is most commercially competitive solution communities as we continue to shape
amongst the highest utilised urban in respect to electricity distribution. Australia’s energy future.
networks at 53 per cent.
We have started planning for 2021 to
We anticipate that utilisation of our 2025, our next regulatory period, with
networks will remain strong given new preparation focused on incorporating
connections grew by approximately 2 into operations how our customers
per cent and customers increased by want to generate, store and use energy
23,099 in 2017. and how they evaluate the value of
Tim Rourke
Chief Executive Officer
Chief Executive Officer
Tim Rourke and Linesman,
Codie Wills visit Yaloak
Wind Farm.
CitiPower and Powercor 2017 Annual Review 3
Our track record.
Every day we deliver electricity to
more than one million customers.
CitiPower and Powercor are two of Victoria’s Delivering a safe and reliable electricity
five privately owned electricity distributors. supply underpins economic development
We own and manage the ‘poles and wires’ and prosperity and in this context, our
that deliver electricity to more than 1.13 million business makes a substantial contribution to
customers in Victoria. Servicing a population Victoria’s economic development, powering
of nearly two million Victorians, we are existing businesses and growth across
responsible for the quality and reliability the communities in which we operate.
of electricity delivered to our customers
We employ nearly 2,000 people in 15 offices
within these networks, that make up 64% of
and depots in Melbourne and across
the state.
central and western Victoria – in many
areas we are a major employer creating jobs
for people who want to live and work in
regional Victoria.
Werribee, a growth
corridor in Melbourne’s
west, is home to many new
families and developments.
4 CitiPower and Powercor 2017 Annual Review
Our track record
Customer numbers Regulated asset base
ü1,134,072 ü$5.9
across CitiPower
and Powercor with $5,896.6 million
23,099 new B in 2017
customers in 2017
Text notifications Network area
ü145,808
across the
sent to customers 2.5 million notifications CitiPower and
ü2.5
sent in 2017 to inform KM2 Powercor networks
our customers of
M outages
Network route
Electricity distributed line length
ü16,689 ü71,249
across the CitiPower across the
and Powercor CitiPower and
GWh networks KM Powercor networks
Distribution revenue Distribution
ü$903 $903.3 million
transformers
M
ü89,742
in 2017 across the
CitiPower and
Powercor networks
Renewable 194MW of renewable
generation capacity generation capacity Poles
ü194 ü630,008
connected to the in service across
CitiPower and the CitiPower and
MW Powercor networks Powercor networks
Customer-installed Network availability
solar systems
ü10,232
across the
CitiPower and
Powercor networks
ü99.99% ü99.97%
for CitiPower network for Powercor network
CitiPower and Powercor 2017 Annual Review 5
Our track record
Delivering three new
depots in regional
Victoria.
During 2017, Powercor opened three new depots in Mildura,
Cobram and Maryborough. As a significant regional employer,
Powercor consistently demonstrates strong commitment to
the communities it serves.
The Maryborough depot employs thirteen people to service
the Maryborough and Castlemaine areas including
substations, while the Cobram depot employs nine people to
service the Cobram East and Numurkah Zone Substations.
And as a result of the opening of Mildura’s new depot on
Benetock Avenue, our team of fifty strong employees are
delivering more line maintenance, supply and asset upgrades,
new connections and renewable energy projects than ever
before.
Mildura
Cobram
Echuca
Shepparton
Horsham
Bendigo
Maryborough
Kyneton
Ballarat
Melbourne
Ardeer
Geelong
Warrnambool
Colac
Distribution Area
Local Service Agents
Depot Locations
6 CitiPower and Powercor 2017 Annual Review
Delivering on our
commitments
At CitiPower and Powercor we understand
that our customers want a safe, reliable and
affordable electricity supply. Our commitment
to this purpose is central to everything we do.
Throughout 2017 we continued to deliver on
our commitment with a focus on delivering
better outcomes every day for our customers,
our people and our communities.
The Melbourne Cricket
Ground, home to
Australian Rules Football,
is a world-class
sporting arena.
CitiPower and Powercor 2017 Annual Review 7
Delivering on our commitments
Performance overview
Reliability
In 2017 we continued to maintain our Urban and rural distributors whole of network unplanned SAIDI average
high standards of network reliability, 2006–2017 (after exclusions)
achieving availability of 99.99% for
CitiPower customers and 99.97% for 27.0 CitiPower (VIC)
Powercor customers. Last year we
32.6 ActewAGL (ACT) 133.0 Powercor (VIC)
invested more than $460 million in
upgrading and replacing assets across 50.6 Jemena (VIC) 141.0 AusNet Services (VIC)
our networks. This investment, coupled 65.7 United Energy (VIC) 143.0 SA Power Networks
with our robust asset management and
maintenance programs ensures we 70.4 Energex (QLD) 152.0 TasNetworks (TAS)
maintain our strong reliability 75.0 Ausgrid (NSW) 220.0 Essential (NSW)
performance. Importantly we did this
88.6 Endeavour Energy (NSW) 261.0 Ergon Energy (QLD)
without increasing household
distribution charges from 2016 levels.
0 25 50 75 100 (minutes) 0 50 100 150 200 250 300 350 (minutes)
Source: Victoria Power Networks
Efficient network management
CitiPower and Powercor continue to Operating expenditure productivity index (2006–2017)
be among the most cost-efficient
distributors in Australia. 0.963 Powercor (VIC)
In its 2017 Annual Benchmarking Report, 0.923 CitiPower (VIC)
the Australian Energy Regulator (AER)
0.848 United Energy (VIC)
ranked Powercor and CitiPower first
and second for operating expenditure 0.781 SA Power Networks (SA)
productivity, and fourth and first for 0.746 TasNetworks (TAS)
total productivity.
0.728 AusNet (VIC)
As part of the 2017 Annual
0.692
Benchmarking Report, the AER also Jemena (VIC)
released 2016 network utilisation data 0.618 Energex (QLD)
which showed that Powercor is the
0.575 Endeavour (NSW)
highest utilised network in the national
energy market at 68 per cent, while 0.571 Essential (NSW)
CitiPower’s utilisation is amongst the
0.509 Ergon (QLD)
highest utilised urban networks at
53 per cent. With 23,099 new 0.455 ActewAGL (ACT)
connections and consumption growing 0.450 Ausgrid (NSW)
by approximately 2 per cent last year,
utilisation across both networks is 0 0.25 0.50 0.75 1.00
expected to increase in 2018. Source: AER Annual benchmarking report, Electricity distribution
network service providers, November 2017
8 CitiPower and Powercor 2017 Annual ReviewDelivering on our commitments
We are committed to finding new ways
to do what we do better and to improve
the performance of our business
while focusing on attempting to
continously improve the safety of our
people, customers and the communities
in which they live.
Affordable pricing outcomes
Our customers pay amongst the lowest Distribution charge per household
distribution network costs in Australia. for the same amount of usage
In 2017, distribution network charges
ActewAGL (ACT)
for a typical CitiPower residential
customer were $283 per annum or $283 CitiPower (VIC)
23 per cent of the total electricity
United Energy (VIC)
bill, and for Powercor $357 per
annum or 26 per cent of the total $357 Powercor (VIC)
electricity bill. Ausgrid (NSW)
Compared to 2016, our 2017 Jemena (VIC)
customers paid 9% less in distribution
charges across CitiPower and SA Power Networks (SA)
Powercor respectively. AusNet Services (VIC)
In 2017, CitiPower was the second Endeavour (NSW)
most affordable distribution network
Energex (QLD)
in Australia, and Powercor the most
affordable rural network in Australia. Essential (NSW)
In 2017 metering charges for a TasNetworks (TAS)
CitiPower residential customer reduced
Ergon (QLD)
by 10 per cent to $85 per annum,
while charges for Powercor customers 0 $200 $400 $600 $800 (AUD)
reduced by 7 per cent to $88 per
annum. Source: CitiPower and Powercor analysis 2017
CitiPower and Powercor 2017 Annual Review 9Delivering on our commitments
Never compromising
on safety
At CitiPower and Powercor, safety is our Our performance Key safety programs
number one priority. and initiatives
In 2017, the business met all major
Electricity distribution is inherently health and safety key performance In 2017, the business delivered a range
hazardous due to the nature, size and indicators (KPIs). of safety programs and initiatives. We:
location of our assets. We are therefore • Launched Cintellate, our new Health,
We achieved a score of 89 per cent for
committed to achieving the highest Safety & Environment (HSE) reporting
the Safety Leadership KPI, exceeding
standards of safety for our customers, and management system. Cintellate gives
the stretch target of 85 per cent.
employees, contractors and the community. management enhanced oversight of their
This indicator measured meaningful
We have in place a comprehensive team interactions held between leaders team’s HSE compliance obligations and
and associated structures for managing and and the wider workforce, including enables employees to quickly and easily
mitigating health and safety-related risks, contractors. raise incidents and hazards, and conduct
and we maintain a Health and Safety audits.
For the Management System
Management System that is externally • Improved our incident and injury
Performance Index, we also met the
certified to AS 4801 (Occupational Health reporting. Cintellate is providing better
stretch target, achieving a score of
and Safety Management Systems visibility around workplace injuries, enabling
85 per cent. This index considers
Standard). us to respond more effectively to particular
performance against health and safety
Our health and safety priorities are focused indicators including timely close-out of types of incidents. For example, a high
on four key areas: actions, improving the performance incidence of hand-related injuries in the first
of significant risk controls and reducing half of the year led to a Hand Safety
1. Ensuring we have a fair and just safety
driving accidents related to inattention. Awareness Program. The program
culture;
educated our employees about the specific
2. Continuously improving systems and Our performance in relation to protection provided by different glove types
processes that help us better manage significant safety incidents has to reinforce the importance of their use in
risks and eliminate incidents that have the continued to improve, with three injury prevention. The program resulted
potential to cause serious injury; significant incidents recorded in 2017, in a substantial reduction in hand injuries,
3. Improving the health and wellbeing compared to 13 in 2013. from 18 in the first half of the year (January
of our people, both physically and to June) to nine in the second half of the
mentally; and year (July to December).
4. Responsibly and safely operating
• Launched our new Health and Safety
our network.
Hub, giving our people better access to
Growing
important information about safety, news
and key initiatives while building on our
awareness for
safety culture across the business.
• Updated our Personal Protective
men’s health Equipment and Clothing standards and
requirements and developed and launched
Fatigue Management Procedures and
With a dedicated support crew,
Guidelines, which included a new Fatigue
67 employees grew their moustaches Risk Assessment.
across 13 depots and offices as part • Began using the 5S methodology in our
of Movember, a global campaign with
depots (Sort, Set in order, Shine,
dedicated programs focused on mental
Standardise, Sustain) to help improve
health, prostate and testicular cancer
as well as general health and wellbeing. efficiency, productivity and workplace
culture by encouraging crews to look at
Nearly $28,000 was raised through
sponsorship and numerous fundraising
their working environment, engage in
activities, which included discussion on problem solving and consider how the
men’s health and keynote speaker sessions. workplace operates more efficiently and
safely.
10 CitiPower and Powercor 2017 Annual ReviewDelivering on our commitments
Health and wellbeing
Through targeted educational and
intervention programs we aim to
improve the physical and mental health
of our people, to help us reduce injuries
and illness.
In 2017, we delivered a range of health
and wellbeing programs designed to
promote good physical and mental
health among our workforce.
These initiatives ranged from physical
activity programs such as stepathlons,
Corporate Games, pilates and yoga
Prostmate – Employees take
through to a range of information
sessions on nutrition, hydration and
initiative on prostate testing
sleep. We also provided skin checks,
prostate screening, flu vaccinations,
support to help people quit smoking, as
well as workplace and home office
ergonomic assessments. As part of our Health and Wellbeing “When it was time for me to get the result
Program we launched Prostmate, which I was semi-prepared, but the urologist
We continued to build on our mental offers male employees a free and dropped a bombshell when he delivered
health strategy which has been created confidential prostate-specific antigen the news that I had stage 2 prostate cancer,
around three pillars: awareness, blood test and skin check, both and a decision on treatment options had to
prevention and early intervention. We commonly used to detect possible signs be made,” said Greg.
of prostate cancer.
delivered this through a range of “The thought of having prostate cancer was
practical and accessible programs With men making up 82 per cent of our scary and daunting for me and my family,
including: workforce, prostate cancer presents and my workgroup was shocked when I told
a real risk. The program was targeted at them what lay ahead.
• A well-established peer-to-peer employees aged 45 years and over, many
“The comforting thing for me and my family
support program. of whom usually wouldn’t visit a doctor.
was the knowledge that because it was
• Our Employee Assistance Program. More than 675 men chose to participate in caught early, it was treatable, and surgery
• Mindfulness programs to help our the CitiPower and Powercor program, the first would provide a good outcome.
people manage stress, anxiety and of its type to be run by an Australian company.
“After surgery I had 10 weeks off work and
improve their overall wellbeing. One-on-one sessions were scheduled with was unable to do anything. I was so bored
• Mental health awareness sessions a doctor to provide employees with results I downloaded Netflix, I couldn’t even mow
and general information sessions were held the lawn!”
for our people and leaders.
across the business. Fourteen employees
• Active support and promotion of Greg, who is now in remission, has a
were referred for immediate medical
message for all fellow male CitiPower and
public awareness days such as consultation and three required surgery
Powercor colleagues.
R U OK Day and Mental Health to remove the prostate.
Awareness Week. “Don’t think about it, just do it – take the
Greg Wood, Design Delivery Coordinator at
free test on offer and catch it early. If you’re
Participation in our health and wellbeing the Geelong depot, was already scheduled
already feeling sick, it’s too late. I am one of
for a prostate MRI the day the blood tests
programs are strong, and we will the lucky ones; what could have been a bad
were being done, however he still undertook
continue to build our health and story has turned out to be a good one,”
the skin check.
wellbeing programs to meet the needs he said.
of our people and ensure we create
a healthy and safe work environment.
CitiPower and Powercor 2017 Annual Review 11Delivering on our commitments
Responsible and
safe operations
Responsible and safe In response to an increase in the number Immediate actions to reduce our risk were
management of our network of network switching incidents, which undertaken in December 2017, including
involves taking a line off service or putting the delivery of the Switch On to Operating
The overall health and condition of our
it back onto service due to maintenance Excellence program at all depots. Project
assets is an important contributor to the
activity or a fault, an independent review Switch will continue into 2018.
safe operation of our network, and we
was undertaken by KMPG in mid-2017.
have well-developed preventative Bushfire mitigation
The review assessed our network
maintenance and replacement policies Rural Victoria is one of the most bushfire
operating activities against global High
to minimise risks. prone places in the world and given the
Reliability Organisations such as Naval
Through our exploration of new flight operations, air traffic control and hazardous nature of our industry, bushfire
technologies, we have introduced a nuclear power generation. It identified mitigation continues to be a key priority
non-destructive wood pole inspection the relevant gaps, risks and opportunities for our business with many of our
tool called ‘Woodscan’ to enhance our that we face in comparison to these programs set against the backdrop of the
traditional ‘drill and dig’ method when organisations. recommendations delivered by the
determining the strength of our timber Victorian Bushfires Royal Commission.
We identified 45 initiatives across six
poles. This technology means we can In 2017 we continued to improve our
strategic areas aimed at enhancing
more accurately identify unsafe poles approach to bushfire mitigation and risk
operational and corporate risk
before they fail, and also avoids replacing reduction as we undertook extensive
management. This resulted in the creation
healthy poles unnecessarily. Three per works to minimise the risk of bushfires
of Project Switch, a program focused on
cent of poles that were tested using from our assets. This included the first
our people, systems, communication,
Woodscan were re-prioritised for urgent zone substations to be fitted with
training and standards to achieve
replacement, and 50 per cent were Rapid Earth Fault Current Limiting
sustained reductions in the frequency
returned to service, avoiding premature (REFCL) devices that dramatically reduce
and severity of incidents.
replacement. the chance of fire from our conductors.
Leading-edge technology
reducing bushfire risk
Powercor is installing leading-edge technology “It detects and cuts the energy flow within
across its electricity network as part of a milliseconds on the affected line, helping to reduce
Victorian Government funded bushfire safety the possibility of a fire being started, and then also
program to reduce the likelihood of uses the remaining two powerlines to maintain a
powerline-related bushfires. continuous power flow, to reduce interruption to
customers’ power supply.”
The technology, known as Rapid Earth Fault Current
Limiter (REFCL), will be fitted in 22 substations Powercor, along with the other Victorian distribution
within high bushfire risk areas at a cost of more companies, is the first in the world to use this
than $250 million over the next five years. technology for the reduction of bushfire risk.
After extensive testing to ensure the device could “It is an exciting and challenging project, where we
operate efficiently, we installed our first two need to pioneer the use of REFCL technology to a
REFCLs at our Gisborne and Woodend substations performance standard that has not been achieved
in 2017 at a cost of $16 million. Another six will be anywhere else in the world.
completed in 2018.
“This work is putting us in a leading position to
“A REFCL is a type of electricity network protection protect our communities from powerline-related
device that responds to certain types of powerline bushfires and reduce the risk to people in our
faults, for example a tree falling on a powerline,” service area,” he added.
said Andrew Bailey, REFCL Technical Director.
12 CitiPower and Powercor 2017 Annual ReviewDelivering on our commitments
Seeing our vegetation
management in
a new light
In the summer of 2017, Powercor inspection as it is much more
used a state-of-the-art aerial accurate and gets across our
survey to take scans of huge network area a lot faster,”
vegetation across its service said Wayne Evans, Vegetation
area, in readiness for cutting Manager.
during the winter months.
“In 2017 we used it to survey
The Light Detection and Ranging 40,000 kilometres of vegetation,
survey, known as LiDAR, involves of which we then went on to clear
the use of laser sensors mounted over 65,000 spans of vegetation.
on a helicopter or aeroplane to
“We place critical importance
measure the distances between
on ensuring sufficient vegetation
the ground, powerlines and
clearance is maintained around
surrounding vegetation, with
our powerlines, so we can
accuracy down to 10 centimetres.
reduce the risk to our local
“LiDAR technology has been communities from potential
a big improvement on our fires,” he added.
traditional ground-based
We also replaced 250 kilometres of reducing fire risk through optimising our practices. It also outlines the key
overhead bare lines with underground vegetation management initiatives. initiatives that are driving improved
cables, which reduces fire risk from sustainability outcomes for our business,
these lines to effectively zero. This was Environment performance and our communities and our customers over
completed at 27 sites across western delivery against commitments the long term.
Victoria at a total cost of more than CitiPower and Powercor have In 2017, the business invested in
$60 million. implemented comprehensive structures programs to drive sustainability and
We installed 197,000 armour rods and for managing environmental impacts and mitigate and improve the management
vibration dampers on our lines in risks. Compliance with environmental of environmental risks. We trialled new
hazardous bushfire risk areas, and legislation and regulation is viewed as technology to improve the protection
17,000 in low bushfire risk areas at a cost a minimum requirement, and we are of water run-off to storm water and
of over $78 million. These devices reduce committed to limiting where ever improved our environmental performance
the likelihood of fires starting from lines possible our environmental impact. monitoring and data capture through
breaking due to wind vibration. In 2018 Assessment of potential environmental the supply chain.
we will increase the installation of risks and impacts is embedded Key environmental performance
automatic circuit reclosers in hazardous operationally within our business as part measures included:
bushfire risk areas, which will help us to of regular activities, and is overseen
reduce the chance of fires on Total Fire • Engaging Greenfleet to plant
by the Health, Safety & Environment
Ban days by enabling the control room approximately 7,000 native trees
(HSE) Group.
to prevent the re-energising of a line when on behalf of CitiPower and Powercor.
The HSE Governance Committee • Recycling more than 300 tonnes
there might be a fault which could lead
provides guidance and direction in of scrap metal.
to a fire.
relation to environmental issues, while
• Diverting more than 10 per cent
Our approach to tree cutting was the Environment & Sustainability team
of total waste from landfill.
intensified, with over 65,000 spans provides specialist advice and ensures
cleared – the most we have ever • Reducing electricity usage by
employees are aware of environmental
completed in a year. We also significantly 33 per cent since 2013 by installing
issues relevant to their roles.
improved our vegetation inspection solar panels across our larger depots.
In 2017 we developed our Sustainability
method, moving from a ground-based
Framework which outlines our approach
program to laser sensors on aeroplanes
to sustainability, including principles,
and helicopters. These improvements are
objectives and metrics by which we can
part of our ongoing commitment to
evaluate our initiatives and current
CitiPower and Powercor 2017 Annual Review 13Delivering on our commitments
Investing in our people
Apprenticeships Diversity and inclusion
and trainee programs In its first full year of operation, the
In 2017 CitiPower and Powercor Diversity and Inclusion Working Group
welcomed 13 new apprentices into made significant progress, focusing on
the business, which for the first time, the key areas of gender, generation
included five female apprentices. Since and identity. We:
2001, CitiPower and Powercor have • Launched the Women in Power
trained 348 apprentices and trainees, Network, designed to connect
as well as 69 graduates through our women across the business by
two-year graduate engineering program. creating a supportive, inclusive
To attract women to the field of environment that advocates for
electrical engineering, the business also and empowers all to realise their
created the Women in Electrical full potential.
Engineering scholarship. We awarded • Conducted an Employee Identity
three scholarships, with recipients Survey to better understand people’s
receiving support in their final two years experiences and opinions with
of study, an assigned mentor from respect to ethnicity and identity in
within our business, and 12 weeks of the business.
vacation work experience before their • Held generational focus groups and
final year of study. workshops to better appreciate and
leverage the unique values,
expectations and skills that each
generation brings to our business.
• Ran cultural events, including Diwali
Festival of Lights, Lunar New Year,
International Women’s Day, National
Harmony Day and NAIDOC Week.
• Implemented a Family and Domestic
Violence Policy to provide employees
affected with support and information
on confidential counselling.
38%
• Updated our flexible working
arrangements, ensuring that we
continue to create a workplace that
attracts and retains talent and reflects
the modern workplace.
14 CitiPower and Powercor 2017 Annual ReviewDelivering on our commitments
Leadership and training
New faces proof of our
Our people are our most important
asset. As the energy industry continues
investment for the future
to evolve, the capability and behaviours
of our workforce are critical to our
success. In 2017 we continued to invest
CitiPower and Powercor is the largest Since 2001, we have trained 348
in building the skills and capabilities of
employer of apprentices amongst apprentices and trainees, as well as our people. We:
Victorian distribution businesses. 69 graduates through our three-year • Ran 69 development programs for
graduate engineering program.
In 2017 we welcomed five female over 300 of our managers and
apprentices for the first time into our Emily Pateno is a second year leaders to develop both strategic and
business, taking on roles as cable underground cable jointer at Ardeer. operational skills. This included
jointers, electrical fitters and
“It’s so easy to get up in the morning partnering with the Melbourne
lineworkers.
when you love your job,” said Emily. Business School to run a nine-month
With an ageing workforce, the strategic leadership program and
“Within a couple of weeks of starting
business has invested in ensuring our
my apprenticeship I realised with launching a new program for 20 of
apprentices are well trained, work
the support that I have behind me, our emerging leaders.
safely and are competent to take over
I can achieve anything I set my
from those nearing retirement. The • Seconded two employees to
mind to here at Powercor.
investment is paying off, with past Wales & West Utilities in the UK,
apprentices successfully making their “The business puts everything in a business in the CK Group of
way into leadership positions. place to ensure we are the best we
companies, on a 12 month talent
can be – the way they teach us, the
Reverse mentoring has become
tools and equipment they provide and exchange.
common across our workforce, with • Launched Career Central, an online
the time and effort they put into us.
the younger, tech-savvy generation
“Apprentices at Powercor are portal to support employees and
coaching the older generation in the
transition from old to new methods incredibly lucky, it’s a very exciting managers with career conversations,
of work. place to be,” added Emily. development planning and skills
assessments. This also included
iLearn Central, a cloud-based
platform with content including
videos, webcasts and book reviews.
8% of apprentices
inducted into our
business in 2017
were female
CitiPower and Powercor 2017 Annual Review 15Making it easy
for our customers
We are focused on providing our customers
with a high standard of customer service.
Excellence in customer service underpins
our vision and in 2017 we continued to focus
on making it easy for our customers.
We regularly survey our customers seeking
their feedback on how we can improve our
services, and we consult on business and
policy issues through our Customer
Consultative Committee meetings.
Our Powerful Customer Service program
is focused on listening to our customers
and taking responsibility for their satisfaction
by meeting our commitments and ensuring
our people follow through to resolve
customer complaints.
In 2017 CitiPower recorded its highest ever
customer satisfaction score at 85 per cent,
while Powercor’s customer satisfaction was
87 per cent which equals its previous best
ever performance.
And for the fifth consecutive year, we were
the two top performing distribution networks
in terms of the lowest rate of complaints to
the Energy and Water Ombudsman among
Victorian distributors.
16 CitiPower and Powercor 2017 Annual ReviewMaking it easy for our customers
Emily,
CitiPower customer.
CitiPower and Powercor 2017 Annual Review 17Making it easy for our customers
Customer campaigns and customers have registered for myEnergy To improve our response to connection
launch of new portals and can see how their home or business related phone enquires, we introduced an
uses electricity over a day, week, month, Interactive Voice Response (IVR) service
In 2017 we built on our digital capability
season or year. This personalised data on our Connections Hotline. The new
with the launch of mySupply, an online
can help them find the best electricity IVR capability helps us with answer rates
tool for customers to help them upgrade
retail offer using the Victorian Energy and allows direct access to connections,
and augment their electricity supply.
Compare website. which has helped to increase satisfaction
Customers use the online tool and quick
In 2017 we eliminated all paper based rates for electricians, retailers and
calculator to estimate costs and submit
connections for Registered Electrical customers.
applications for works, including
extending the network into new estates Contractors (RECs), moving them In attempting to improve our services to
and for large solar connections. to eConnect, our online portal. We also life support customers we changed the
offered a Fast Track option to our way we notify them about planned
The benefits of mySupply include
large-scale customers. Fast Track maintenance, by going above and
allowing customers to gain ‘ballpark’ cost
reduces the registration, design, beyond the minimum regulatory
estimates, simplifying the application
scheduling and construction time for obligations, and sending a notification
process, driving back office efficiency by
projects with critical timelines for to their homes using express post.
reducing customer turnaround times and
achieving electricity connection. The notifications can be tracked to
providing a more traceable service.
We also released a public lighting online ensure delivery, and where possible,
In 2017 we continued to develop follow-up phone calls are also made
fault reporting tool which enables
myEnergy, an online tool which allows to ensure customers are aware of the
anyone, anywhere with a mobile device
customers to take control of their interruption, and have a plan in place
to use an interactive map to report a
electricity bills. More than 35,000 to ensure they are not adversely affected.
streetlight that needs fixing. The tool also
allows users to stay informed about
when the light they reported is fixed.
18 CitiPower and Powercor 2017 Annual Review
35,00Making it easy for our customers
eConnect online
applications portal
eConnect is the online applications portal Since its inception, CitiPower and Powercor
for CitiPower and Powercor Registered have been averaging 3,500 applications each
Electrical Contractors (RECs). It integrates 16 month from RECs.
systems from across our business and is
John Cutler, Managing Director of Keemin
now the single platform for all our
Energy Solutions, has been using eConnect
connections processes.
in his business.
According to Brendan Bloore, General
“I found eConnect difficult to use in the
Manager Customer Services, the platform
beginning, but since receiving support from
is a ground-breaking project for CitiPower
Powercor to get it up and running it has been
and Powercor.
a breath of fresh air.
“eConnect is a great example of how we are
“The best thing about eConnect is it takes the
leading the way in making it easier for our
retailer out of the process, things happen a lot
customers to get connected.”
quicker and there are no issues with loss of
“Although we’ve had some challenges, we paperwork.
believe the fundamental shift from paper-based
“I would say to any new user of the system
connection applications to an online capability
if you have the patience to stick with it, the
give us the opportunity to improve our
outcome will be fabulous for you and your
responsiveness, reduce cycle times and
customers,” added John.
improve the overall customer experience.”
000+ customers
registered for
myEnergy since
its launch
CitiPower and Powercor 2017 Annual Review 19Connecting
with our
communities
We have strong connections within the communities we serve.
With the majority of our people living and working in regional
Victoria, we play an important role as an employer and
in supporting the social and economic development
of local communities.
This includes purchasing local goods and services,
developing infrastructure and facilities and consulting with
communities to ensure our services continue to meet
changing needs and expectations as the energy market
continues to evolve.
Our partnerships program is designed to build strong, deeper
connections with our communities and our employees who live
and work in these communities. In particular, our partnerships
are designed to build healthier, more resilient communities,
encourage diversity and inclusion, and empower more
sustainable communities.
The Renewable Newstead
community meet monthly
to discuss the town’s
progress towards
achieving their goal of
100% renewable energy.
20 CitiPower and Powercor 2017 Annual ReviewConnecting with our communities CitiPower and Powercor 2017 Annual Review 21
Connecting with our communities
Tour de Depot Powercor Country Festival Western Bulldogs
2017 saw the Powercor Tour de Depot In partnership with the Australian Football Powercor entered into a three-year
charity cycling series return to League’s Essendon and Geelong partnership with the Western Bulldogs’
Shepparton and Warrnambool for its football clubs, we delivered the 2017 Community Foundation and Next
third year. Powercor Country Program. The Generation Academy. The partnership
More than 700 community members partnership is designed to promote the has provided a platform to celebrate our
participated in the Tour, which included a contribution that regional Australia makes commitment to diversity and inclusion.
10-kilometre ride and 20-kilometre time to the social and economic fabric of the The program gives our employees the
trial. The Shepparton event raised country, and to bridge understanding opportunity to volunteer as mentors to
$65,000 for Shepparton Foodshare and and appreciation between urban and young business leaders, become
Inspired Carers, while in Warrnambool rural communities. In its second year, the ‘Adapters’ supporting newly arrived
the event raised $65,000 for the Leila Country Game attracted almost 60,000 immigrants and refugees, or help expand
Rose Foundation. people to the MCG. mental health programs in Melbourne’s
To celebrate local heroes, CitiPower and fast growing western corridor.
Since its inception in 2015, the Powercor
Tour de Depot with the support of the Powercor launched the Game Changers
local community has raised more than program inviting communities to
$470,000 for worthy local charities and nominate women who were driving
support organisations. These funds have change and making a difference in their
ensured that local charities can continue local community. The inaugural Powercor
to provide their much needed services. Game Changer was awarded to Nicci
Wall, a mental health advocate located in
Geelong, who received $5,000 towards
her development and goals, and a
further $5,000 to Mind Works Geelong.
$ 1.91
Total investment in
community programs
for 2017
22 CitiPower and Powercor 2017 Annual ReviewConnecting with our communities
A member of the public trying Virtual Reality Our Women in Engineering Scholarship winners
goggles at Open State. participate in Open House.
Open State, Melbourne Open House Renewable Newstead
Design Week itiPower and Powercor once again
C The Central Victorian town of Newstead
As part of Melbourne Design Week, sponsored Open House Melbourne, began the trial of a new residential tariff,
CitiPower and Powercor participated in offering the extremely popular tours marking a significant step on the
Open State, where we showcased our of our CBD substations J and Russell township’s journey toward achieving
innovation in the design of the electricity Place. In 2017 the program was their goal of 100% renewable energy
network. We invited 40 visitors to our expanded to include a bespoke virtual by 2021.
Market St headquarters to experience a reality experience through our Spatial In late 2017, the Australian Energy
3D virtual reality session which focused Design Team at our site office at Regulator approved the trial Newstead
on visualisation of the design process. Waratah Place. Residential Tariff which will be available
Our Diversity & Inclusion Working Group to people within the Newstead area in
As part of the tour, participants
extended the experience to 24 young July 2018. It will remain in place until
uploaded designs of electricity
women in Science, Technology, 31 December 2020 when it will be
infrastructure onto their smartphones
Engineering and Mathematics (STEM), reviewed based on tariff uptake.
and then inserted their devices into
studying in the electricity sector. The partnership is a great example of
virtual reality goggles where the designs
The group was given a brief history of how distribution networks, communities
were viewed in 3D format. Members
the site and the electricity distribution and government can work together to
from our spatial design team were on
sector, and participated in a tour explore solutions that help communities
hand to answer questions about how
showcasing how virtual reality and achieve their energy goals.
915M
the technology worked and the benefits
3D modelling design software are being
for the network, customers and key
used to expand the grid and plan for the
stakeholders.
future at Waratah Place in Chinatown.
CitiPower and Powercor 2017 Annual Review 23Investing in a
smarter, more
efficient network
With population growth across Victoria increasing, and Melbourne
set to surpass Sydney as Australia’s largest city during the 2030s,
it is essential we invest in infrastructure and technology which
ensures our network continues to be resilient and reliable well into
the future. In 2017 we supported projects which will ensure Victoria
has the infrastructure it needs to accommodate its fast-growing
population, and we continued to take a cost-effective approach to
upgrading and refurbishing our own assets.
24 CitiPower and Powercor 2017 Annual ReviewInvesting in a smarter, more efficient network
Demand management –
Smart Meter Voltage Management
Specialist teams at CitiPower and By using this technology, we can help Fresh voltage data is then provided every
Powercor devised a demand response ease potential electricity supply shortages five minutes, ensuring we can maintain
initiative in 2017 which is pushing and contribute to the reliability of supply, a reliable source of supply for our
innovation boundaries and in doing so, while keeping customers within customers.
contributing to the National Electricity acceptable voltage levels. We believe we And when SMVM is deployed, customers
Market. Smart Meter Voltage are the first networks globally to be don’t need to take any action. In fact, they
Management (SMVM) involves using leveraging investment in smart meter are unlikely to be aware it has been
smart meters to lower voltages quickly capability to deliver voltage reduction at deployed.
and at scale across the network to this scale.
reduce demand from the transmission In late 2017 we worked with AEMO
When the Australian Energy Market to test SMVM and to ensure it was
network at times when high temperatures Operator (AEMO) predicts and then calls
and subsequent use of successful. When an event is called,
a high-demand event, our control room CitiPower and Powercor expect to
air conditioning causes electricity can quickly and incrementally drop
demand to rise significantly. contribute up to 110MW of capacity,
voltages network-wide at 82 zone which is enough to power the grid
substations across our service area. and supply about 110,000 homes.
Matt Gower and Peter
Erwich, reviewing jobs and
planned outages across the
network, in the Market
Street control room.
CitiPower and Powercor 2017 Annual Review 25Investing in a smarter, more efficient network
Powering growth across Our commitment to ensuring a reliable while enabling us to support the
Melbourne power supply for customers is evident significant works programs in and
through the West Melbourne Terminal around these areas.
In 2017 we were involved in several
Station program, which will decommission
projects to support Melbourne’s Also in 2017 the new $20 million
the 22kV network across West Melbourne.
continued growth. Truganina Zone Substation was
In 2017 we were in the planning and
As part of the Melbourne Metro Rail commissioned to service the rapidly
designing stage of the project, which
project, five new stations and nine growing areas west of Melbourne such
will see CitiPower upgrading supply to
kilometres of twin track will be built across as Hoppers Crossing and Tarneit, and
existing substations and customer sites.
Melbourne. CitiPower was engaged future suburbs such as Mount Atkinson.
to relocate assets in the proposed new Supporting a growing Victoria
station precincts and to provide Our business is supporting a growing
electricity supply during the construction Victoria in the metropolitan and regional
of the tunnel. areas. We are continuing to invest in
We also worked with Yarra Trams to help infrastructure that will allow us to deliver
provide public lighting and supplies for for the communities we operate in and
the new tram platforms, and for diverted support the state’s growing economy.
trams during works in the Domain We extended our presence in regional
precinct. Our involvement in the project Victoria by investing in new depots in
will continue in 2018. Mildura, Cobram and Maryborough. Our
The $6.7 billion West Gate Tunnel project ongoing and significant improvements in
will improve access to Melbourne’s workplace productivity and efficiency
western suburbs. In 2017 we worked means we are now well placed to direct
with the Victorian Government and the investment in building these important
West Gate Tunnel Construction capital projects that will benefit our
Consortium to support the project. employees and local communities,
We continue to invest in
infrastructure that will allow us to
deliver for the communities we
operate in and support a growing
metropolitan and regional Victoria.
26 CitiPower and Powercor 2017 Annual ReviewInvesting in a smarter, more efficient network
Investing in our assets and reliability issues. We improved Terminal Station will expand supply
the performance and safety of the site, to some of Australia’s fastest-growing
In 2017 we commenced construction
and carried out preparatory works suburbs in western Melbourne,
of the Waratah Place Zone Substation
which will the see the site increase to supplying Sunshine, Melton and
located in Melbourne’s Chinatown
five transformers in the future. the new Truganina Zone Substation.
precinct. The project is part of a multi
million dollar program to provide Across the Powercor network, we The commissioning of the terminal
backup for the Melbourne CBD in the worked within a challenging timeframe station, owned and operated by
event of power failure and will ensure to successfully deliver the connection TransGrid, is the culmination of eight
supply is returned within 30 minutes. services for a new Zone Substation years’ effort by Powercor, TransGrid,
The Waratah Place Zone Substation is in Derrimut to supply a new data centre. the Australian Energy Market Operator,
the final stage in the wider Metro and We connected the centre to an AusNet Services and Jemena.
CBD Security of Supply program. upgraded 66kV line without outages We also invested nearly $26 million
during the works. in fleet, with managers, drivers and
At a cost of $4 million, we upgraded
the North Richmond Zone Substation, Also during the year the Deer Park operators consulted throughout the
which supplies a mix of nearly Terminal Station was commissioned on process to select the 242 new vehicles.
14,000 commercial, light industrial the Keilor to Geelong 220kV
and residential customers. The aged transmission network ahead of
substation was suffering from overload schedule and below budget. The
New Truganina
Substation to support
Victoria’s growth corridor
In 2017 Powercor built and by TransGrid. Truganina has been
commissioned the new designed and built to allow for
$20 million Truganina Zone future expansion and growth, with
Substation. The substation, a provision for a third transformer
which has two 25/33MVA power and an ultimate capacity of up to
transformers, uses IEC 61850, twelve 22kV feeders.
an innovative communications
The project was delivered ahead
protocol which has never been
of schedule and under budget.
used across CitiPower and
It will benefit the community by
Powercor before.
servicing rapidly growing industrial
It connects to the new Deer Park and residential development areas
Terminal Station, which was west of Melbourne such as
initiated by Powercor and built Hoppers Crossing and Tarneit,
CitiPower and Powercor 2017 Annual Review 27Investing in a smarter, more efficient network
As the energy landscape evolves, we
are playing an increasingly important
role – helping to capitalise on
technology advancements and facilitate
renewable generation.
Smart Meter Technology meter communications system to switchboards to carry out routine
help us deploy an additional 7,000 testing, and monitor partial discharge
In 2017 we used smart meter
street lights, rather than using the (unusual electrical activity).
technology to help us to service our
traditional cellular network method. • Trialled Robotic Process Automation
customers better. We:
• Used smart meter communication (RPA) to help drive productivity
• Delivered low voltage (LV) mapping paths to detect errors in customer efficiencies. The RPA tool was
to reduce customer disruption from data, which resulted in a reduction successful in automating a process
planned outages. The system allows in billing complaints. which previously involved 60 mouse
us to map which powerlines are
clicks down to just eight mouse
servicing which homes, so we can Investment in technology clicks, a time reduction of
ensure we notify the right customers We continued to invest in technology approximately nine minutes. Such
about planned outages. to create a smarter network. We: automation will help with creating
• Collaborated with the Environmental correct customer lists, of which we
• Deployed our Fault Detect, Isolate
Protection Authority (EPA) to use our generate more than 8,000 per year,
and Restore (FDIR) system to five
smart meter network to measure air and standardise our customer
zone substations. FDIR will enable
quality. We attached low-cost notification process for planned
our systems to automatically detect
air quality sensors to lighting poles outages.
the location of faults and restore
on Queen’s Bridge in Melbourne to
customers to service following a • Undertook research into how we can
measure concentrations of fine PM2.5
fault, leaving only the faulted section inspect pole tops by using drones to
particles in the air, a pollutant in
out of service. This will have capture aerial images which will help
smoke, fine dust and vehicle exhaust
significant impact on improving our identify with increased accuracy any
emissions.
customer experience and the overall pole defects.
• Used voltage data from smart meters
reliability of our network.
to identify electrical faults and
• Launched Click, a mobile tool which
improve safety.
eliminates the previously paper based
• Used smart meters to help us with
process and allows us to plan,
testing how we can optimise service
schedule and carry out all of our field
levels and reduce costs. We did this
activities far more efficiently.
by automatically and remotely
• Installed remote monitoring
detecting when connection rods and
equipment on six high-voltage
service cables which are installed
switchboards at zone substations
between a pole and a customer’s
across our network enabling
property have deteriorated, causing
us to gain access to these
a potential safety hazard.
• Leveraged the cost-effective smart
28 CitiPower and Powercor 2017 Annual ReviewInvesting in a smarter, more efficient network
Renewable energy generation
As the energy generation mix continues
to change and the energy landscape
evolves, we are playing an increasingly
important role in helping to facilitate this
shift.
In 2017 we connected 194MW of
renewable generation capacity to the
CitiPower and Powercor networks,
connecting 10,232 solar systems that
our customers had installed. We also
supported renewable energy projects
across the Powercor network, as north
and central Victoria integrated
large-scale solar into the energy
generation mix, and Powercor
continued constructing connections for
Mildura team pulls
several large-scale solar farms in North
Western Victoria.
together to design new
The construction of wind farms
continued across western Victoria,
purpose-built depot
with the successful energisation and
We continued our long-term “We had outgrown the 66-year-old
connection of assets ahead of schedule
commitment to our customers in the depot we were working in, and the
for a number of large, renewable north west. In May 2017 we opened the team went above and beyond to make
generation sites. doors to our new purpose-built depot sure the new depot would be a
In late 2017 the Kiata Wind Farm, a in Mildura, a three-year construction productive, functional and enjoyable
project, designed and built to ensure place to work,” said Aaron Hughes.
30MW wind farm project located 50
we’re delivering the safest, most
kilometres north west of Horsham, was “It was a big effort, as we were still
effective and reliable service to
delivering our core work, while also
completed. The $2.8 million Powercor our customers.
staying back after hours to get the
connection facilitated the project which
The Mildura Depot Committee, which depot project done.
has nine turbines and is supplying was behind the creation of the facility,
“We are really pleased with our new
enough electricity through the national consisted of Field Leader Aaron Hughes,
environment, it’s a great place to come
electricity grid to power over 20,000 Construction Project Leader Nigel Hay,
to every morning. A huge improvement
Victorian homes. Supply Chain Field Officer Bruce
from our previous facility,” said Aaron.
Rochester and GIS/Drafting Technical
Construction of the Yaloak South Wind Officer Tony Grant. To acknowledge their great team effort,
Farm, situated west of Melbourne in the Mildura Depot Committee was
Ballan, was also completed in late 2017. recognised as part of the company’s
At its peak, Powercor had 35 people 2017 Living our Values Awards.
working on site during the winter
months to ensure project delivery. The
wind farm will provide total installed
capacity of 28.7MW to the electricity
network.
CitiPower and Powercor 2017 Annual Review 29You can also read
