The new investment will include replacing a further 860 km of gas piping and connecting gas to 39,000 residential, business and industrial customers.
As part of AGIG, Australian Gas Networks (AGN) announced the investment by submitting its Final Plan to the Australian Energy Regulator (AER) for the SA gas distribution network for the 2021/22 to 2025/26 access arrangement period.
Additionally, an upfront price cut of 7 per cent was proposed for the 460,000 customers across SA’s natural gas distribution network.
AGIG CEO Ben Wilson said the Final Plan was informed by extensive customer and stakeholder engagement, including more than 20 workshops and community feedback.
“A continued focus on renewable gas in the network is also a Final Plan priority,” said Mr Wilson.
“We are planning to blend renewable gas into our networks, with these low carbon initiatives being strongly supported by our customers.
“Price, affordability and supply reliability remain the top priorities for our customers, made all the more important given the economic impact of the COVID-19 pandemic on many customers.”
Mr Wilson said the new investment will also include the remove of AGN’s old cast iron mains, which is a significant safety milestone for both the company and its customers.
Additionally, the wider use of digital channels to improve customer communications and investment in a vulnerable customer assistance program will be implemented into the company’s future steps.
“The pandemic has had a significant economic and social impact for many South Australians and therefore it is more important than ever that AGN’s Final Plan for the next five years delivers network price relief,” said Mr Wilson.
AGN expects to have the AER’s draft decision this year.
For more information visit the AGIG website.
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