3.4 SUPP Kardinya South Project Existing Letter Survey Facts Sheet 11.9.2020.pdf

11 September 2020

«Owner»
«Mailing_Address1»
Kardinya South
«Mailing_Address2»
Underground Power Project
Property Owner Survey
Property Address:
McWhae
«PROP_Addr1», «PROP_Addr2»

Thank you to all the residents who contributed to previous surveys regarding the proposed
Kardinya South State Underground Power Program Project.  We are sorry for the delay in
responding  to  you  with  the  results  of  the  second  survey  as  we  hav
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e  been  working  with
Western Power on the implications for the project.
The purpose of this letter is to:
1.
Advise residents on the results and implications of the second survey on the Kardinya
South Underground Power Project
2.
Inform residents of the revised proposal from Western Power
3.
Complete a third and final survey to residents
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on the acceptability of holding the price
from 2016 ($422 per property)
The  second  survey  results  indicated  that  residents  did  not  support  the  project  at  a  higher
average cost, with 53% (378) response rate, 39% (146) of property owners supporting the
project and 61% (232) of property owners not supporting the project.
Melville
Due to the survey results the project was at risk of being cancelled.  This would result in the
of
overhead power lines remaining in place and significantly reduce the likelihood and viability
of  this  area  being  considered  for  underground  power  in  the  future.    Further  to  this,  a
significant amount of overhead network renewal works wil  need to be undertaken.
- City
In  recognition  of this  project  being cancelled  and  Kardinya  South  not having  the  option of
underground  power  in  the  future,  Western  Power  reviewed  project  costing  and  examined
other opportunities to reduce costs residents to bring them in line with the average annual
costs per property supported in the September 2016 survey.
In  response  to  the  State  Government’s  commitment  to  provide  funding  toward  stimulus
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projects that could be implemented in the short term to provide jobs, support the construction
industry and boost the economy, Western Power has agreed to provide additional funding for
the Kardinya South Underground Power Project to enable the project to be constructed at the
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same  average  cost  as  the  original  survey  in  2016  of  $4,424  per  property  which  received
majority support.
As  your  property  is  in  the  area  of  Kardinya  that  has  underground  power  your  charge  is
estimated to be $422.

There  would  be  a  charge  to  your  property  as  you  are  connected  to  a  transformer  on
Farrington Road which is in turn connected to the existing overhead network which wil  be
undergrounded and there wil  be upgrades to the lighting in your area.
The enclosed project facts sheet provides further detail and background information on the
project.
Please complete the enclosed third and final survey by returning the survey sheet and reply
paid envelope by Friday, 2 October 2020.
If the final survey results contain  more than 50% of respondents agreeing, the project  wil
start during this financial year 2020-2021.  Properties wil  not be charged until the following
financial year.  It wil  be included as an item in your 2021-2022 rates notice and a relaxed
payment plan can be arranged for those with financial constraints.
We look forward to receiving your completed survey by 2 October 2020 and wil  advise you
of the outcome as soon as possible.
McWhae
If you have any queries on this matter please contact the City of Melvil e on 1300 635 845 |
9364 0666 or email melinfo@melvil e.wa.gov.au.
Yours sincerely
- Keith

Mick McCarthy
Director Technical Services

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Melville
of
- City
Release
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Kardinya South Underground Power Project
Property Owner Third and Final Survey

Please tick the box indicating your choice;

I Do Support
The proposed Kardinya South Underground Power Project

I Do Not Support
McWhae
The proposed Kardinya South Underground Power Project

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Property Owner:  «Owner»
Property Address:  «PROP_Addr1», «PROP_Addr2»
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Melville
of
- City
Release
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Kardinya South Underground Power Project – Facts Sheet

As your property is in the area of Kardinya that has underground power, your charge
is estimated to be $422.
What is Underground Power?
Underground power involves removing existing overhead power lines and poles and taking
them underground.  Some of the benefits are:

Improved security and reliability of your power supply

Improved and more efficient street lighting

Safer environment

Safer roads
McWhae

Improved street view

Improved property values

Western Power installs the new underground cabling and  streetlights
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along street verges,
connecting each home to underground power.  Once each household is connected existing
lines and poles are removed and recycled if possible.

Background of Kardinya South Underground Power Project
First Survey (September 2016)
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In  September  2016  the  State  Government,  through  the  Public  Utilities  Office,  invited  all
affected residents in Kardinya South to take part in a survey to determine the level of support
from property owners for underground power to be installed in the area.
The  September  2016  survey  indicated  that  59.5%  (378)  of  respondents  supported  the
project, which enabled the project to progress into
Melville  the detailed design phase.
In the first survey the cost to the prope
of  rty owner was quoted to be on average a total cost of
$4,424 per property, which at the time was the best estimate based on available information.
Fol owing Western Power’s completion of the detailed design work, the cost of the  project
increased by 24.5% to an average of $5,508 total cost per property.
- City
For  this  reason,  the  City  of  Melvil e  in  conjunction  with  the  State  Underground  Power
Program  Steering  Committee  consisting  of representatives from, Western  Power, WALGA
and  the  State  Government  commenced  a  second  survey  in  November  2019,  which
concluded on 18 December 2019.
Second Survey (December 2019)
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The  second  survey  results  indicated  that  residents  did  not  support  the  project,  with  53%
(378) response rate, 39% (146) of property owners supporting the project and 61% (232) of
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property owners not supporting the project.
Due to the survey results the project was at risk of being cancelled.  This would result in the
overhead power lines remaining in place and reduce the likelihood and viability of this area
being considered for underground power in the future.  Further to this, a significant amount
of overhead network renewal works wil  need to be undertaken in the near future.

Current Situation

Third and Final Survey

In  response  to  the  State  Government’s  commitment  to  provide  funding  toward  stimulus
projects that could be implemented in the short term to provide jobs, support the construction
industry and boost the economy, Western Power has agreed to provide additional funding
for the Kardinya South Underground Power Project to enable the project to be constructed at
the same average cost as the original survey in 2016 of $4,424 per property which received
majority support.

Due  to  timeframes  and  the  revised  average  cost  we  wil   be  surveying  Kardinya  South
residents for the third and final time.

If the result is more than 50% of respondents supporting underground power the project wil
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go ahead.

Estimated Charges
In establishing the estimated charges, the City has considered the following factors:
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
Property density

kVA requirements as advised by Western Power

The City’s existing differential rating methodology for commercial properties

Any existing infrastructure in-situ

The charges to be levied against a property comprise of two components.  These are:
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
Contribution  to  works  external  to  the  property  which  includes  the  new  underground
cabling,  removal  of  the  existing  overhead  powerlines,  installation  of  the  new  street
lighting  system  and  installation  of  the  ground  mounted  transformer  and  switchgear
cabinets.  This is identified as the Network Service Charge.
Melville

Contribution to the installation of a green dome and the underground cable from the
green  dome  to  the  meter  bo
of x where required.  This is identified as the Network
Connection Fee.
The final charges to be levied for each individual property are dependant on the number of
houses on the lot and the type of connection required at the time the project commences.
- City
The City is aware that there are number of properties around Arnold Crescent and Urwick
Close that were part of a localised undergrounding of power, as part of a sub-division in the
early to mid-1980’s.  The properties at that time were part of the City of Cockburn.
It  is  not  uncommon  for  a  small  number  of  properties  within  a  project  area  to  have
underground  power  as
Release     part  of  a  previously  undertaken  localised  project.    In  previous
underground  power  projects  facilitated  by  the  City  of  Melvil e,  concessions  have  been
applied to the affected properties in order to reflect the work previously completed and this
wil  be do
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Western Power has confirmed that you are connected to a transformer on Farrington Road
which is in turn connected to the existing overhead network which wil  be undergrounded.
The cost of upgrading this portion of the network is directly related to the supply of power to
your property.  In addition, upgrades to the existing poles and lights in your area wil  occur.

You wil  be charged a substantially reduced network charge to cover the cost of these works
as described below:
Network Service Charge
Properties included in the Kardinya South Underground Power Scheme area around Arnold
Crescent  and  Urwick  Close  wil   each  be  charged  an  estimated  network  service  charge  of
$422.
Network Connection Fee
No Network Connection Fee wil  be charged as your properties already are connected.

When and How Would I be Charged?
If  the  final  survey  results  contain  51%  or  more  of  respondents  agreeing,  the  project  wil
commence  during  this  financial  year  2020-2021.    However  properties  wil   not  be  charged
until the following year and included as an item in your 2021-2022 rates notice.  McWhae

Please  note  that  pensioners  and  seniors  who  are  eligible  for  a  State Government funded
Pensioner  Rebate  may  receive  a  rebate  on  the  above  charges  or  defer  payment  in
accordance with the provisions of the State Government’s Rates and Charges (Rebates and
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Deferments)  Act  1992.    The  City  wil   also  work  closely  with  residents  to  help  develop
payment plans that match individual financial circumstances.

Payment can be made in instalments over an extended period of time, incurring a minimal
interest  charge  (currently  2%)  which  is  determined  each  year  by  Council.    If  you  are
interested  in  an  extended  payment  plan  please  contact  the  City’s  Rates  Department  on
1300  635  845  |  9364  0666  or  melinfo@melvil e.wa.gov.au  when  you  receive  your
2021-2022 rates notice.
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Melville
of
- City
Release
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