Submission on the Wellington Town Belt Bill. Local Government and Environment Select Committee Parliament Buildings Wellington

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Emory Williams
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1 Wellington Electricity Lines Ltd 2 Submission on the Wellington Town Belt Bill To: Name: Local Government and Environment Select Committee Parliament Buildings Wellington Wellington Electricity Lines Limited PO Box Lower Hutt 5040 Introduction 1. Wellington Electricity Lines Limited (Wellington Electricity) is the local electricity distribution company in the Wellington region. 2. Wellington Electricity's distribution network covers an area from the southern most points of the North Island out to Pukerua Bay on the coast and Kaitoke to the north. The network distributes electricity from exit points on the National Grid to about 166,000 electricity consumers; including businesses, essential services, and households. 3. Wellington Electricity s distribution network is regionally significant infrastructure and the continued operation of its network is essential for providing Wellington with a reliable supply of electricity. It is also important that Wellington Electricity has the ability to reinstate critical parts of the network unhindered in the event of a natural disaster. 4. Part of Wellington Electricity s distribution network is located within Wellington s Town Belt, and Wellington Electricity considers it likely that it will need to install new infrastructure on land within the Town Belt in the future. 5. Wellington Electricity s ability to operate, maintain and develop its network in part relies on unambiguous, efficient and effective procedures for coordinating its activities with the relevant land owner s expectations. 6. Wellington Electricity understands the intent of the Bill will change the legal framework for the Town Belt land, and will introduce a modern regime for the day to day management of land use activities within the Town Belt.

2 Wellington Electricity Lines Ltd 3 7. Wellington Electricity therefore supports the intent of the Bill providing the provisions do not prevent or hinder its ability to operate, maintain, recover and develop an electricity distribution network that is fit for purpose, and provides an essential service. Key Issue Existing Infrastructure 8. Wellington Electricity has existing infrastructure located on the land to which Schedules 2 6 of the Bill refer. This infrastructure and the land upon which it is located is shown on the maps included in Attachment A to this submission. 9. Wellington Electricity s Palm Grove substation and the underground 33 kv cable connecting it to Transpower s Central Park substation are key components of the network supplying electricity to the eastern part of the City. The Palm Grove substation and a 900 metre long section of the 33 kv cable between the substation and Finnimore Terrace are located on land within the Town Belt (McAllister Park). 10. Wellington Electricity s existing infrastructure is lawfully established in terms of planning law [under sections 9(3) and 10 of the Resource Management Act 1991], and in terms of any related property considerations in terms of Part 3 of the Electricity Act Wellington Electricity submits that the provisions of the Bill must not denigrate from these existing rights. Key Issue New Infrastructure 12. Wellington Electricity does not have any specific plans to upgrade its network by constructing new distribution lines on land within the Town Belt. Nonetheless, it would be inappropriate for this option to be foreclosed. Open space land in public ownership often provides for more direct, and therefore more cost effective, routes, or in some instances there may be no other alternative available. 13. New under-ground distribution cables are able to be installed with minimal land disturbance or disruption to the recreational activities, and with the land s overall value not being diminished. 14. Wellington Electricity submits that the provisions of the Bill should ensure that the Town Belt is able to be used for appropriate in-ground infrastructure.

3 Wellington Electricity Lines Ltd 4 Key Issue Critical Lines 15. Wellington Electricity is a lifeline utility in the context of the Civil Defence Emergency Management Act (the CDEMA) 2002 which defines these as being businesses providing essential services to the community and required during the response and recovery phases of an emergency, and more specifically includes a business that distributes electricity through a network. 16. As a lifeline utility Wellington Electricity has certain statutory duties as specified in section 60 of the CDEMA. It is required to: ensure that it is able to function to the fullest possible extent, even though this may be at a reduced level, during and after an emergency Two major fault lines (Ohariu Fault and Wellington Fault) run the entire length of Wellington Electricity s system network. Wellington Electricity is thus developing a resilience strategy to address this seismic risk by being able to function to the fullest extent possible during and after an emergency. More specifically Wellington Electricity is planning the design and location of temporary overhead 33,000 V (33 kv) lines that can be erected following a major earthquake and associated seismic damage to underground cables, so supply to the CBD and eastern suburbs (including Wellington Airport and Wellington Hospital) can be promptly restored. The work required to establish these temporary networks will comprise: forming access, vegetation trimming or removal, forming foundation, erecting poles and stringing the overhead conductors. 18. Wellington Electricity s preferred routes for these temporary overhead lines partly occupy Town Belt land. This infrastructure and the land upon which it is located is shown on the maps included in Attachment B to this submission. These are the preferred routes due to the ease of access and construction due to the largely vacant land areas. 19. In this respect it is noted that the February 2011 Canterbury earthquake resulted in about one-half of Orion Network s 60 km long network of 66 kv cable being damaged. The earthquake response was significantly aided by Orion being able to erect two temporary high voltage lines within one week. These two lines have provided electricity to over 20,000 home in the eastern suburbs of Christchurch for over 4 years and are only now due to be removed later this year. 1 Section 60(a) of the Defence Emergency Management Act 2002

4 Wellington Electricity Lines Ltd Wellington Electricity submits that in order to meet its statutory duties under the CDEMA, together with the public benefit, allowing temporary occupation of Town Belt land for this purpose must be accommodated, and that the provisions of the Bill must specifically permit this installation and operation as a temporary and critical activity. Key Clauses of the Bill 21. In respect of the issues identified above Wellington Electricity provides the following commentary about the related clauses of the Bill. 22. Clauses 13 and 20 Restrictions on the Council s Powers Under Clause 13 of the Bill the Council is not able to: grant any easement, lease, or licence other than in accordance with sections, 16, 17, 19 or 20.. ; 2 or, authorise any business activity other than in accordance with Section 18 to Clause 20(1) of the Bill Public Services reads: (1) Despite anything in this Act, the Council may, on any conditions that it considers appropriate, grant easements, leases, and licences and authorise business activities in respect of the Wellington Town Belt for public services and sections 16 to 18 do not apply. Clause 5 defines public services as follows: public services means, irrespective of public or private ownership, network infrastructure that is, in the public interest, necessary for (a) the distribution or transmission of energy (including an electrical installation or work as defined in section 2 of the Electricity Act 1992 and a distribution system as defined in section 2 of the Gas Act 1992); and (b) (c) the provision of telecommunications services; and the provision of water, wastewater, and stormwater services The operation, maintenance and upgrade of Wellington Electricity s network is a public service as defined in Clause 5 of the Bill and 2 Clause 13(b) of the Bill 3 Clause 13(c) of the Bill

5 Wellington Electricity Lines Ltd 6 accordingly the Council is able to grant property rights to it [under Clause 13(b)] and authorise its activities [under Clause 13(c)]. Wellington Electricity supports these provisions of the Bill as far as they relate to its existing network and any future upgrades. Wellington Electricity s occupation of Town Belt land by erecting a temporary overhead line for emergency purposes is also a public service as defined in Clause 5 of the Bill, and the Council is able to authorise that activity [under Clause 13(c)]. However, Clause 20(2) of the Bill requires the Council to adopt an assessment process before it authorises such an activity. Clause 20(2) requires the Council to consider - (a) (b) the effect on the Wellington Town Belt of the proposed public service; and alternative sites, routes, or other methods for achieving the objectives of the proposed public service. Wellington Electricity submits the evaluation process to which Clause 20(2) of the Bill refers could introduce life-threatening delays, and accordingly emergency work of this nature should be exempt so long as the work accords with: its emergency management plan prepared under section 60(b) of the Civil Defence Emergency Management Act (2002); or, a formal agreement between Wellington Electricity and the Council. Wellington Electricity seeks an amendment to these provisions to ensure that procedures and processes under the Bill do not impede its ability to undertake emergency work. 23. Clauses 18(1) and 5 Temporary Business Activities Clause 18(1) [Business Activities] reads: (1) The Council must not authorise a business activity (including under an easement, lease or licence) on the Wellington Town Belt unless (a) the activity is temporary, and any effect of the activity on the Wellington Town Belt and the public will be no more than minor; Clause 5 defines temporary as follows:

6 Wellington Electricity Lines Ltd 7 Temporary, in relation to an activity, means an activity that (a) is of a non-repetitive, transient nature; and (b) does not exceed four weeks duration; and (c) does not involve the construction of permanent structures or facilities. Wellington Electricity believes that a realistic post-earthquake scenario will require temporary overhead lines in accordance with its resilience strategy to be in place for longer than four weeks. However, Wellington Electricity s business is a public service, and therefore these provisions of the Bill do not apply to the operation, maintenance and upgrade of its network. Wellington Electricity supports this delineation between a business activity and a public service. However, in the case of Wellington Electricity there is an overlap between the definition of business activity and the definition of public service, and it would be beneficial if any confusion in this respect was avoided. Accordingly, Wellington Electricity submits that the definition of business activity should be amended to confirm that it does not include an activity defined as a public service. 24. Clause 15 Consultation Under Clause 15(4) of the Bill, before the Council exercises its power to grant an easement, lease or licence under Clause 20: (4) The Council must consider the views of the public and persons likely to be affected by, or to have an interest in, the proposed exercise of the power, including by (a) making information on the proposed exercise of the power publicly available and inviting submissions on it; and (b) taking into account all submissions made on the proposed exercise of the power. Wellington Electricity does not support this provision of the Bill as far as they relate to its existing network and any future upgrades or emergency recovery. Wellington Electricity submits that the Council can appropriately manage the granting of property rights without the need for the process to be opened to public notification and submissions.

7 Wellington Electricity Lines Ltd 8 Wellington Electricity agrees that a public process can, depending on the circumstances, result in better decisions about resource management issues. However, that is already provided for under the provisions of the Resource Management Act. Wellington Electricity sees no benefit in duplicating regulation in this regard. 25. Clause 26 Existing Rights Clause 26(1)(e) confirms that: This Act does not affect. any public service that is lawfully established on the Wellington Town Belt. Furthermore, Clause 26(2) confirms that: (2) This Act does not affect the operation of any law that confers rights to access, operate, inspect, maintain, replace or upgrade public services Some of Wellington Electricity s existing rights relate to section 24 of the Electricity Act 1992 which allow it to: construct and maintain works in, on, along, over, across, or under any road... Schedule 2 lists several parcels of land that are currently road but will become Town Belt land, while some land parcels that are currently part of the Town Belt and are to become road are listed in Schedule 3. In addition, land that will not be Town Belt but local purpose reserve is described in Schedule 4. Wellington Electricity has reconciled these specific parcels of land with its records about asset location. Having done so Wellington Electricity confirms it has assets located within: road that will become Town Belt (Schedule 2); Town Belt that will become road (Schedule 3); and, within Town Belt that will become local purpose reserve (Schedule 4). Wellington Electricity needs to be assured that any redefinition of these parcels of land will not denigrate its rights in terms of section 24 of the Electricity Act (in the case of road to be stopped) or introduce doubts about the applicability of the provisions of the Electricity Act (in the case of new road).

8 Wellington Electricity Lines Ltd 9 Wellington Electricity submits that the provisions of the Bill must recognise Wellington Electricity s existing rights to operate and maintain the parts of its existing network within Town Belt. Conclusion and Recommendations 26. Wellington Electricity is the electricity distribution business that owns and operates the network within Wellington, Porirua and Hutt Valley. Some of Wellington Electricity s network occupies land in the Town Belt and it is possible that future upgrades and emergency work will also be located in the Town Belt. 27. Wellington Electricity has reviewed and considered the provisions of the Wellington Town Belt Bill, and generally supports the intent of the Bill. 28. Wellington Electricity considers that the Bill: (a) appropriately recognises its existing rights to operate and maintain the parts of its existing network within Town Belt; and, (b) enables the Council to grant property rights to Wellington Electricity and authorise activities associated with upgrading its network; and, (c) enables the Council to authorise activities associated with the erection of emergency 33,000 V over-head electricity lines to critical locations. 29. The Bill does require the Council to adopt an assessment process before it authorises such an activity. Wellington Electricity considers that the Bill should be amended so this process need not apply where there is an existing emergency plan in place or if Wellington Electricity has an existing agreement with the Council which may be in the form of a memorandum of understanding or similar. 30. Wellington Electricity considers the provisions of the Bill relating to notification and submissions (where a new property right for its network is proposed) unnecessarily duplicate public engagement under the Resource Management Act, and the Bill should be amended accordingly. 31. Wellington appreciates the opportunity it has had to review and comment on this Bill.

9 Wellington Electricity Lines Ltd 10 Dated at WELLINGTON this 28th day of October Signed on behalf of the Asset and Planning Manager Wellington Electricity cc Sol Friedman Asset and Planning Manager, Wellington Electricity Address for service: Align Limited P O Box Petone Lower Hutt 5046 Attention: Brian Warburton DDI: (04) bwarburton@align.net.nz

10 Attachment A Existing Assets in Relation to Town Belt Land

12 Attachment B Routes of Overhead Emergency Electricity Lines

HEARING STATEMENT - PALMERSTON NORTH CITY COUNCIL PLAN CHANGE 15A - RURAL ZONE (GENERAL ISSUES)

HEARING STATEMENT - PALMERSTON NORTH CITY COUNCIL PLAN CHANGE 15A - RURAL ZONE (GENERAL ISSUES) 11111 TRANSPOWER Keeping Ihe energy flowing Sarah Shand Phone: 04 590 7434 Email: sarah.shand@transool.ler.co.nz Transpower House 96 The Terrace PO Box 1021 Wellington 6140 New Zealand p 6444957000 F 6444957]00