Mr Wettenhall asked The Minister For Natural Resources, Mines
And Energy And Minister For Trade (Mr Robertson)- With reference to electricity demand-
(1) What factors are driving demand for electricity in Far North Queensland and how is that demand being met?
(2) What investments in the generation, transmission and distribution network are planned to meet future demand and ensure continuity and reliability of supply?

The first stage was the replacement of the Tully to Innisfail transmission line
which was completed in 2008. Commissioning of the second stage between
Edmonton and Innisfail was completed in August this year. Construction of the
new Ross to Yabulu South transmission line and Yabulu South Substation is
substantially complete. Easement acquisition for the replacement 275/132kV
transmission line between Yabulu South and Ingham is almost complete, with
pre-construction activities commencing this month. Environmental impact studies are well advanced for the replacement of the remaining section of transmission line between Ingham and Tully, which will complete the coastal line replacement program.

Another major project by Powerlink is the three stage, $500 million-plus reinforcement of the high voltage transmission network between Central Queensland and North Queensland, with the benefits of the project extending to Far North Queensland.

In addition to its capital works program, Powerlink has spent more than $70 million maintaining and refurbishing the high voltage network in the North and Far North Queensland region over the past five years.

Distribution: Towards the end of 2008 there was an unacceptable number of
underground cable failures affecting the Cairns CBD. In response, Ergon Energy assessed the cables in the Cairns CBD and, where necessary, upgraded and/or replaced the cables under a $1 million program brought forward from the 2009-10 financial year. The work is expected to be completed by the end of 2009.

Ergon Energy's actual expenditure on capital works for the Far North in the 2008-09 financial year was $121 million. This included $18 million on network refurbishment and $26 million on network augmentation.

Ergon Energy's budgeted capital expenditure for 2009-10 in the Far North Queensland Region is $119 million, with a preliminary budgeted expenditure for 2010-11 of $137 million.

There are a number of major works planned in the Far North which will increase capacity and bolster supply reliability.

 The Cairns North Substation was recently completed. The project involved the
establishment of a 132kV to 22kV zone substation with an underground 132kV
cable dual circuit and associated 22kV distribution feeders at a total cost of $67.5 million.

Ergon Energy also established a new 66kV supply to Kagara (Red Dome Mine) at Mungana, west of Mareeba, including the construction of a new 66kV/22kV zone substation at Chillagoe at a budget cost of $9.7 million. The substation was completed in July 2009.

A new substation at El Arish (in conjunction with Powerlink Queensland) has been established to reinforce supply to Mission Beach, and the El Arish area. This includes 22kV feeder works. The Budget is $14 million. The substation is close to completion.

As part of future Kuranda augmentation works and to supply a new sawmill, Ergon Energy has erected a new section of 22kV feeder between Mareeba and Emerald Creek at a cost of $2.98 million. This work was completed in September 2008.

Installation of a new 22kV underground feeder from Edmonton zone substation as part of Cyclone Area Reliability Enhancement (CARE) program is now under way. The feeder will improve reliability supply to the Edmonton township as well as meet the increasing load requirements in this area. Budget cost is $3.66 million.

Work on the McLeod Street CARE project has been completed. This project involved installing high voltage underground supply to the Cairns Regional Council pumping station from the new Cairns North zone substation. It has also improved security of supply to the Cairns Base Hospital.