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Parliamentary Questions

Question On Notice No. 743 asked in the Legislative Council on 13 March 2018 by Hon Robin Scott

Question Directed to the: Minister for Regional Development representing the Minister for Water
Minister responding: Hon D.J. Kelly
Parliament: 40 Session: 1
Question

(1) Will the Minister advise the total capital cost of the Southern Water Desalination Plant (Binningup), and the capital cost of the pipeline connecting to the Integrated Water Supply (IWS) pipeline?
(2) What percentage of the capital cost of Binningup, including the pipeline, represented wages paid to Western Australians and what percentage of the capital cost represented items that are manufactured in Western Australia?
(3) During the most recent twelve-month period for which figures are available to the Minister, what was the total Binningup production of fresh water in terms of billions of litres, and what percentage of Perth's total water consumption did this output represent?
(4) During the same period as (3), what was the total revenue received for sale of water produced by Binningup?
(5) During the same period as (3), what was total electrical energy consumption of Binningup in gigawatt hours (GWh) and what was the total payment and rate of payment, per GWh, made for this electricity to each provider including Mumbida Wind Farm and the Greenough River Solar Farm and any other provider or providers who supplied electricity to Binningup?
(6) During the same period as (3), what was total electrical energy consumption of the pump or pumps delivering water from Binningup to the IWS pipeline in GWh and what was the total payment and rate of payment per GWh made for this electricity to each provider including Mumbida Wind Farm and the Greenough River Solar Farm and any other provider or providers who supplied electricity for the purpose.?
(7) During the same period as (3), what was the net income or net loss of Binningup?

Answered on 11 April 2018

(1) $1.4 billion; stage 1 - $955M in 2009/10 and includes connecting pipeline; expansion - $450M in 2011/12 with no additional pipeline.
(2) Average Australian content for the whole plant was 70% including wages and items manufactured in Australia. Reporting requirements at the time of stage one construction were at a national level only; this changed during the expansion stage and West Australian content is recorded at 54%.
(3) For 2016/17, production was 102.5 billion litres, which accounts for 36% of the total water supplied to customers of the Integrated Water Supply Scheme which includes metropolitan Perth, Mandurah, parts of the South-West, Goldfields and Agricultural regions, and can also be stored in metropolitan dams for future use.
(4) Revenue at individual plant level is not calculated; this asset is one of many water sources, including groundwater and surface water, across an extensive network of pipes and pumping stations used to supply and deliver water to residential and commercial customers.
(5)-(6) The Corporation has more than 2,580 assets requiring electricity across the state; consumption at the Southern Seawater Desalination Plant was in the order of 411 GWh. Electricity requirements are met through a portfolio of more than ten different arrangements and the wholesale electricity market. A portfolio approach provides flexibility to mix and match demand at any point in time across the market, to deliver the lowest possible overall cost.
(7) Individual plant level net income or net loss is not calculated; this plant is one of many water sources, including groundwater and surface water, across an extensive network of pipes and pumping stations used to supply and deliver water to residential and commercial customers.