6Approval of certain transmission system augmentations

6 Approval of certain transmission system augmentations

(1)  This regulation applies if –

(a) an augmentation of a part of the Provider's relevant transmission system would be required in order for the system to be likely to meet a network performance requirement contained in a provision of regulation 5 that applies in relation to the system; and

(b) the augmentation is proposed in power system planning of the Provider; and

(c) the present value of the cost of constructing, operating and maintaining the proposed augmentation is estimated to exceed the relevant amount in relation to the augmentation.

(2)  For the purposes of subregulation (1)(c) , the relevant amount in relation to an augmentation is –

(a) if the augmentation is proposed in the financial year in which this subregulation commences – $35 million; and

(b) if the augmentation is proposed in any following financial year – the amount obtained by multiplying $35 million by the CPI increase since 2013 for that following year.

(3)  The relevant Provider must apply to the Minister for approval of the proposed augmentation.

(4)  If this regulation applies in relation to a proposed augmentation, of a part of a relevant transmission system, that would be required in order for the system to be likely to meet a network performance requirement contained in a provision of regulation 5 that applies in relation to the system, the provision of that regulation –

(a) is not, despite regulation 5 , to be taken to be a network performance requirement in relation to that part of the system; and

(b) does not constitute a service standard under regulation 5(2) in relation to that part of the system –

unless the Minister has approved the augmentation under this regulation.

(5)  The application –

(a) is to be in a form provided or approved by the Minister; and