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Networks Charges for Connection to the Distribution System Revision 5 21 June 2006 Status: Approved Commercial and Customer Asset Management ESB Networks June 2006

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Page 1: Charges for Connection to the Distribution System · • It sets out the basis of calculation of charges for connection to the Distribution System that are payable by individual customers,

Networks

Charges for Connection to the Distribution System

Revision 5 21 June 2006 Status: Approved

Commercial and Customer

Asset Management ESB Networks

June 2006

Page 2: Charges for Connection to the Distribution System · • It sets out the basis of calculation of charges for connection to the Distribution System that are payable by individual customers,

Charges for Connection to the Distribution System © ESB 22/06/2006

Contents

1.0 ABOUT THIS DOCUMENT................................................................................................ 3

2.0 SCOPE ............................................................................................................................... 3

3.0 DEFINITIONS OF TERMS USED IN THIS DOCUMENT .................................................. 5

4.0 PRINCIPLES OF THE CONNECTION CHARGES ........................................................... 6

5.0 CONNECTION CHARGE CALCULATION.................................................................... 7 5.1 Standard MIC Charge..............................................................................................................8 5.2 Network Charges.....................................................................................................................8 5.3 Trenching Charge ....................................................................................................................8 5.4 Exceptional Costs ....................................................................................................................9 5.5 Shared Network Charge ..........................................................................................................9

6.0 APPLICATION OF CONNECTION CHARGES............................................................. 9 6.1 Domestic Non-Scheme Connection Charges...........................................................................9 6.2 Housing Scheme Connection Charges...................................................................................10 6.3 Apartment Connection Charges............................................................................................11 6.4 Business Connection Charges ...............................................................................................13 6.5 Situations where Standard Charges do not apply .......................................................................18

7.0 REVIEW ARRANGEMENTS............................................................................................ 21

APPENDIX 1: ............................................................................................................................ 22

STATEMENT OF CHARGES FOR CONNECTION TO THE DISTRIBUTION SYSTEM 2006 22

APPENDIX 2: ............................................................................................................................ 37

REFUNDS IN RESPECT OF SHARED NETWORK................................................................. 37

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1.0 About This Document This document has two purposes:

• It sets out the basis of calculation of charges for connection to the Distribution System that are payable by individual customers, whether domestic or business. Charges in respect of infrastructure for large multi-customer developments such as business parks are determined according to different rules and are dealt with in the Business Parks Policy.

• It includes a statement of standard charges for 2006 in Appendix 1. CER approval of these charges is required under the Electricity Regulation Act and the Distribution System Operator licence.

2.0 Scope This document describes connection charges payable for providing individual

connection points for users of the Distribution System.

It does not describe the connection process or the Distribution Use of System tariffs. These are described in more detail in the following documents which can be found on ESB Networks website (http://www.esb.ie/esbnetworks/).

Related Documents of Interest to Customers Connected to the Distribution System

No. Document Title Source Issue Date

1 Guide to the Process for Connection to the Distribution System

DSO February 2002

2 Distribution Use of System Tariffs DSO January 2005

3 Distribution System Security and Planning Standards (demand customers only)

DSO September 2003

4 Business Parks Policy DSO January 2004

Details of the user categories and distribution nominal voltages are given in the Distribution Code.

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Table 1. Users of the Distribution System

User Type Connection Voltage

User Category (Distribution Code)

DUoS Tariff Code Description

DG1 Domestic and Farm

LV B4

DG2

Housing Schemes, Small Domestic Developments, Single Houses, Apartments and Farm Buildings

LV A4, A5, B3, B4 DG3, DG5, DG5A, DG5B, DG6, DG6A, DG6B,

MV B2 DG7, DG7A, DG7B

38 kV B1(38 kV only) DG8, DG8A, DG8B, DG9, DG9A, DG9B

All Connections Business (Commercial and Industrial)

110 kV B1 (110 kV only) DG10 Section 6.4.7 below.

Embedded Generators

LV, MV, 38 & 110 kV

A1, A2, A3 - 1

All Connections

1 Generators do not pay DUoS charges on exported energy but pay Operating and Maintenance Charges. Charges on imported energy are based on the appropriate business DUoS group.

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3.0 Definitions of Terms Used in This Document In general, the definitions of terms used in this document are the same as in the Distribution Connection Agreements (see 1.0 Definitions and Interpretation, General Conditions for connection of Industrial and Commercial customers to the Distribution System, pp 3 – 9).

The definitions of terms particular to this document are given below.

Term Definition

Distribution Transformer Substation, usually with a primary voltage of 38 kV or 110 kV and an MV secondary voltage. The secondary is connected in to the local MV network.

Network Station

Switching Station In the context of this document, a switching substation connected at 38 kV or 110 kV primary voltage.

Common Costs Common costs of a substation consist of the costs of the site, the building plus the equipment, which are shared by all users connected to the substation.

Thus the costs of those items of electrical equipment through which current drawn by every user connected to the station must pass are included in the common costs.

Shared Network

Electrical Network (e.g. common network station equipment/site, transmission network connecting that station to the system and any associated remote end station works) used to connect more than one of the cluster generators to the existing network. This excludes transmission/distribution network downstream of the network station.

Stranded Asset Any asset constructed to cater for the existing MIC that is now deemed not necessary for the reduced MIC.

Dedicated Connection Asset Electrical network (lines, cables, switchgear etc.) used to connect a single user to the transmission or distribution system. The connection asset is specific to the user and does not form part of the connection to any other user.

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Term Definition

Distribution System Operator (DSO)

ESB in its role as Distribution System Operator licence holder.

Least-cost technically-acceptable solution

The term that describes the cheapest connection method that meets the requirements in the Planning and Security Standards and the Distribution Code

Maximum Export Capacity (MEC)

The amount of electricity referred to as being the “Maximum Export Capacity” in the Connection Agreement.

Maximum Import Capacity (MIC)

The amount of electricity referred to as being the “Maximum Import Capacity” in the Connection Agreement.

Electrical load that causes voltage disturbance or waveform distortion on networks affecting voltage quality for other users of the distribution system.

Disturbing Load

Distribution System Security and Planning Standards (demand customers only)

A document submitted by DSO to CER for approval under the terms of its licence. The document outlines the DSO’s approach to the development of network and how the connection of new loads and embedded generators to the Distribution System is assessed.

4.0 Principles of the Connection Charges

Equality of Treatment

Under the Electricity Regulation Act, 1999, ESB has the following obligation:

“Where providing for use of the transmission or distribution system or where offering terms for the carrying out of works for the purpose of connection to the transmission or distribution system of the Board, the Board shall not discriminate unfairly as between any persons or classes of persons.”

In the context of connection charges, this can be interpreted as follows:

Customers with similar capacity requirements should bear similar charges subject to considerations of economic efficiency.

Economic Efficiency For reasons of economic efficiency, the method of connection to the network is the Least Cost Technically Acceptable Solution (LCTAS).

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The LCTAS is defined as the solution which is technically acceptable and which results in the least cost being incurred by the DSO in implementing the solution and which facilitates the long term development of the electricity network in the area. The process of choosing the LCTAS is specific to each case and is detailed in the Distribution System Security and Planning Standards. Any additional costs incurred by ESB Networks in providing a connection, which is deemed by ESB Network to be over and above the LCTAS, are borne in full by the customer or developer. There are situations where standard charges are not applicable and where connection charges are calculated on a case by case basis.

Examples of cases where costs above the least-cost technically-acceptable solution arise are:

- Disturbing Loads installed by the customer. These can effectively require an increased capacity over and above the nominal capacity (MIC).

- Requests by the customer to use underground cable where overhead line would normally be used.

- Requests by the customer to site a substation required for connection in a non-optimal location requiring extra construction costs or extra telecoms and other costs.

- Higher security than required under the Distribution Code.

Simplicity

Any system of connection charges should be as simple as possible. This has a number of advantages:

- Faster quotations for customers.

- Easy for the customer to understand

- Reduced administrative overheads

- Reduction in auditing overhead

5.0 Connection Charge Calculation The connection charge for a customer is made up of the following:

- Standard MIC Charge

- Network Charge

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- Trenching Charge

- Exceptional charge

- Shared Network Charge

5.1 Standard MIC Charge

Standard charges are intended to recover part of the DSO’s costs in providing new connections. The method for calculating standard charges is as follows:

1. Establish the range of least cost technically acceptable connection methods

2. For each of these valid connection methods calculate

- Connection Asset Charge. This is 50% of the cost of the dedicated connection asset. It includes the cost of installing metering, cables/lines and DSO equipment in the user’s terminal station necessary to effect the connection.

- Capacity Charge (Only for Business Customers). This is an average charge per kVA for reinforcement of the existing system. It consists of

o 50% of the cost of the customer’s share of the capacity of the MV/LV substation.

o 25% of the average cost of network reinforcement. (Only applies for business customers with an MIC of 500 kVA or greater)

3. Determine the proportion of actual connections accounted for by each of the valid connection methods, i.e. the weighting factors.

4. Calculate the standard charge as a weighted average of the charges for the set of valid connection methods.

5.2 Network Charges

For domestic one-off connections and housing schemes the standard MIC charge includes MV network costs within defined distance criteria, outside these criteria additional MV network charges apply based on design costs. For business customers and domestic customers with apartment connections the standard MIC charge does not include network charges, where applicable standard network charges per metre are used.

5.3 Trenching Charge

The customer is required to provide all trenching free of charge to ESB both inside and outside the site (except for single urban domestic dwellings, see

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below). For the avoidance of doubt, trenching on the customer site is always the responsibility of the customer.

Where however at the request of the customer ESB arranges to have the trenching outside of the customer site carried out by a contractor, the cost of the trenching is included in the quotation and is based on either a firm quotation from the contractor or standard trenching charges as listed in Appendix 1.

For single urban domestic dwellings the standard charge includes the cost of up to 50m of trenching (excavation, ducting and reinstatement) from the dwelling. Once again for clarity this does not include trenching required on the customer site.

5.4 Exceptional Costs These costs include

- High Trenching Costs

Where the actual trenching charge is over 110% of the standard trenching charge then the customer will be charged the full contractor trenching charge. (This will only arise where ESB arrange for trenching on behalf of the customer and the customer is quoted using standard trenching charges)

- Additional Charges

Local authority road opening charges and any wayleave, easement or other costs imposed by third parties are charged in full.

- Supplementary Charges (Business Only)

Supplementary charges apply to business customers where the length of the feeding network is excessive. This is because of the extra cost of providing capacity on these networks.

5.5 Shared Network Charge

A shared network charge / refund applies in cases where a connection to a new customer makes use of the connection asset of an existing customer, see appendix 2.

6.0 Application of Connection Charges

6.1 Domestic Non-Scheme Connection Charges

The connection charge for domestic non-scheme customers is the sum of the following:

- Standard charge. Select the appropriate standard connection

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- Standard 12 kVA connection - Enhanced 16 kVA connection - Upgrade connection (12kVA to 16kVA).

These standard charges are quoted in Table A1.0 in Appendix 1. The standard charges apply to

- Rural dwellings located within 500m of existing MV overhead network, measured as crow flies.

- Urban dwellings within 50m of LV three phase network, measured along route length to the nearest connection point.

- Network Charges. For rural dwellings outside the distance criteria the

network charge is

- 50 % of design cost of new MV network between 500m and 1 km from the dwelling.

- 100 % of design cost of new MV network over 1 km from the dwelling.

For urban dwellings outside the distance criteria the network charge is

- 50 % of design cost of new LV network over 50m from the

dwelling.

- Trenching Charges (see section 5.3) - Exceptional Charges (see section 5.4) - Shared Network Charges (see section 5.5)

Design Costs

Standard connection charges are not available for connections to

- Non-dwelling farm buildings (MIC 3 kVA) - Special connections (MIC between 17 kVA and 29 kVA)

In these situations the customer should be quoted on the basis of 50 % of Design Costs. Special connections are subject to a minimum charge equal to that of the enhanced 16kVA connection.

MV Network beyond 1km from the dwelling is charged at 100% of design costs.

Connections with an MIC of 30 kVA or greater are treated as business connections.

6.2 Housing Scheme Connection Charges

The connection charge for domestic housing scheme customers is the sum of the following:

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- Standard Charge for Housing Schemes (20 or more houses). The

standard charge is based on the average length of roadway per house. - Standard Charge for Small Domestic Developments (2-19 houses).

For developments up to 8 houses a single charge applies. For developments from 9 to 19 houses the charge depends on the average length of roadway per house. These standard charges are quoted in Tables A2.0 and A2.1 in Appendix 1.

- Network Charge. The standard charge includes the costs of up to 500m

of MV Network from the housing scheme MV substation.

Outside of this distance criterion the network charge is - 50 % of design cost of new MV network beyond 500m and up to

1 km from the housing scheme MV substation. - 100 % of design cost of new MV network beyond 1 km from the

housing scheme MV substation. - Trenching Charges (see section 5.3) - Exceptional Charges (see section 5.4) - Shared Network Charges (see section 5.5)

Design Costs The standard charges for housing schemes and small domestic developments assume the following conditions.

- Separate service per house. - Connection capacity of 12kVA. - For small domestic developments of between two and four houses the

average length of roadway per house is in the range of 1 to 50 metres. - For developments with five or more houses the average length of

roadway per house is in the range of 1 to 14 metres. - The development is completed within 3 years of payment of connection

charges. Where these conditions do not hold then the developer should be quoted on the basis of 50 % of design costs. MV network beyond 1 km from the housing scheme MV substation should be charged at 100% of design costs.

6.3 Apartment Connection Charges

An apartment development is defined as a development where the metering for all the apartments and the landlord is centralised in a single metering location. The connection charge for apartments is the sum of the following:

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- Standard Charge for Total MIC. The total MIC is the sum of the design MIC’s at the common metering position for all the apartments (diversity is taken into account) plus the Landlord MIC (diversity is not taken into account) 50% of metering costs

- Network Charge. Where MV network is required the network charge is - 50 % of design cost of new MV network up to 1 km from the

apartment MV substation. - 100 % of design cost of new MV network beyond 1 km from the

apartment MV substation. - Trenching Charges (see section 5.3) - Exceptional Charges (see section 5.4) - Shared Network Charges (see section 5.5)

Granny Flat A granny flat is similar to a two-apartment development and is defined as a dwelling:

- Located beside an existing main dwelling. - Physically and electrically separate from the main dwelling. - Metering is adjacent to the metering for the main dwelling. - Shared service feeding the two connections.

The standard charge for a granny flat is given in Table A1.0 in Appendix 1. Example: 75 Apartments (MIC 12kVA) + Landlord (MIC 15kVA) Sum MIC = 12 kVA + (74 x 2.5 kVA1) +15kVA = 212 kVA Connection Charge = Standard Charge for 212 kVA connection + 50% of Metering Costs + MV Network Charges + Trenching Charges + Exceptional Charges + Shared Network Charges

1 After Diversity Maximum Demand (ADMD) for 12kVA load is taken as 2.5kVA

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6.4 Business Connection Charges

6.4.1 Single Business The connection charge for business customers is the sum of

- Standard Charge. The standard charge is based on the customer MIC,

refer to Tables A3 - A7 in Appendix 1.

- MV/HV Network Charge, see table below. MV/HV Network Charge

Customer MIC

<5,000 kVA Customer MIC

>5,000 kVA New MV Network

Standard MV network charge per metre

Connection via new HV/MV

substation No HV network charge

Charge 50% of attributable cost of new HV network, where attributable cost for new connection is (customer MIC/Firm capacity of substation)*Cost of new HV network. For increases in capacity the attributable cost is (Increase in MIC/Firm capacity of substation)*Cost of new HV network)3

New HV Network

Connection at HV

Charge 50% of the cost of new HV network. Where connection is via a new HV substation the customer is also charged 50% of attributable cost of new HV network to feed that substation where attributable cost is (Customer MIC/Firm capacity of substation)*Cost of new HV network.

- Trenching Charges. The customer is required to provide all trenching free of charge to ESB both inside and outside the site. Where at the request of the customer ESB arranges to have the trenching work outside the customer site carried out by a contractor, the cost of the trenching is included in the quotation.

3For the purposes of calculating HV network charges, any increases in MIC within 12 months of the requirement to construct the HV network will be taken as the relevant increase in MIC.

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Trenching on the customer site is always the responsibility of the customer.

Standard trenching charges are quoted in Table A8 Appendix 1.

- Shared Network Charges / Refunds. A shared network charge / refund may apply in cases where a connection to a new customer makes use of the connection asset of an existing customer.

The shared network refund is paid to the customer who accepted the connection agreement / terms for the original connection. The shared network charge is paid by the customer who accepts the connection agreement / terms for the new connection. The value of the shared network charge / refund depends on

- Use of connection asset made by the customers. For shared MV/HV lines or cables this is based on the relative (import or export) capacities of the customers.

- The capital contribution originally charged in respect of the shared asset excluding any standard charge.

Details for eligibility and calculation of refunds in respect of shared network are given in Appendix 2.

Due to their interim nature, temporary connections do not provide permanent benefits to the customers availing of them. However, there are certain situations where the location and size of a connection have meant that the option of a temporary connection has conferred a substantial benefit. In these situations refunds may apply.

- Exceptional Charges. Supplementary charges apply to business

customers where the length of the feeding network is very long. This is because of the extra cost of providing capacity on these networks. Specifically they apply to

- MV customers, with a maximum import capacity in excess of 500kVA and located greater than 7km from a 38kV station. See Table A9, Appendix 1.

- 38kV customers, with a maximum import capacity in excess of 2,500kVA and connected to circuits longer than 18km between 110kV stations. See Table A10, Appendix 1.

Other exceptional charges are included such as high trenching costs, easement costs etc, see section 5.4.

6.4.2 Increases in Capacity The charge for an increase in MIC is equal to the standard charge for the proposed capacity less that corresponding to the existing capacity. In cases where new MV/HV network is required, there is an additional charge which is

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calculated in the same way as for a new connection, as outlined in Section 6.4.1.

New HV network may be required where either the increased MIC requires a new HV/MV substation or where the increased MIC requires a connection at HV. Any such HV network charge is additional to any MV network charge or increased capacity charge.

6.4.3 Reductions in Capacity

A charge may be made for a reduction in MIC depending on whether stranded assets remain following the reduction in MIC. If there are no stranded assets then the customer can be offered a revised Connection Agreement for the reduced MIC level free of capital charge. If there are stranded assets then the capital contribution for a reduced MIC level is the standard charge for the existing MIC level less the standard charge for the reduced MIC level less an allowance for DUoS paid since connection of the existing MIC.

Capital Contribution = [a-b-c]

a = Standard Connection Charge for the existing MIC level

b = Standard Connection Charge for the reduced MIC level

c = Allowances Recovered via DUoS

Allowances recovered are [(a-b)*n/20] where n is the number of years, or part of a year, that the customer was on the existing MIC level.

6.4.4 Multi-Business Development Centralised Metering

Where the metering for all the business customers is centralised at a single metering location the total connection charge for a multi-business development is the sum of: - Standard charge for total MIC

For business units the total MIC is the sum of the individual MIC’s at the common metering position (i.e. diversity is not taken into account).

- 50% of metering costs - Additional charges

MV / HV Network Charges, Trenching Charges, Exceptional Charges and Shared Network Charges are added as for a Single Business in section 6.4.1.

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Example Ten Business Units: 15 kVA 3 phase connections. Metering for all the units centralised in one room. Sum MIC = 10 x 15 kVA = 150 kVA Connection Charge = Standard Charge for 150 kVA 3 phase Connection + 50% of Metering Costs + MV / HV Network Charges + Trenching Charges + Exceptional Charges + Shared Network Charges.

Non-Centralised Metering Where the metering for all the business customers is not centralised the total connection charge for a multi-business development is simply the sum of connection charges for the individual business customers.

6.4.5 Mixed Development

A mixed development is defined as a development which consists of a mixture of domestic and business customers. Centralised Metering Where the metering for all the domestic and business customers is centralised at a single metering location (i.e. in one room) the connection charge for the mixed development is the sum of

- Standard Charge for Total MIC For commercial units the total MIC is the sum of the individual MIC’s at the common metering position (i.e. diversity is not taken into account). For domestic units the total MIC is the sum of the design MIC’s at the common metering position (i.e. diversity is taken into account).

- 50% of Metering Costs

- Additional Charges

MV / HV Network Charges, Trenching Charges, Exceptional Charges and Shared Network Charges are added as for a Single Business in section 6.4.1.

Example Three Business Units: (Two Shops 15 kVA, One Business 35kVA). Three Apartments & Landlord: (Apartment 12kVA, Landlord 15kVA). Metering for all the units is centralised in one room. Sum Business MIC = 15 kVA + 15 kVA + 35 kVA = 65 kVA Sum Apartments & Landlord MIC = 12 kVA + 2.5 kVA4 + 2.5 kVA + 15kVA = 32 kVA

4 After Diversity Maximum Demand (ADMD) for 12kVA load is taken as 2.5kVA

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Total MIC = Sum Business MIC + Sum Apartment & Landlord MIC = 65 kVA + 32 kVA = 97 kVA Connection Charge = Standard Charge for 97 kVA Connection + 50% of Metering Costs + MV / HV Network Charge + Trenching Charges + Exceptional Charges + Shared Network Charges.

Non-Centralised Metering

Where the metering for all the domestic and business customers is not centralised the total connection charge for the mixed development is simply the sum of the connection charges for the individual business and domestic customers.

Apportionment of MV network charges in Mixed Developments

In a mixed development with a mixture of apartment / housing scheme / business connections the apportionment of MV network charges across the different quotations is made in the ratio of the MIC’s for the particular phase of the development being quoted. For example, if the MV cable length required in a development phase is 1,000 metres and

Total Apartment MIC 200kVA

Total Housing Scheme MIC 300kVA

Total Business MIC 500kVA

Therefore apportion MV network costs in the ratio of 2:3:5, i.e. 200m for apartment, 300m for housing scheme and 500m for business quotation.

6.4.6 Substation Sites and Buildings

Users of the Distribution System to be connected at MV are required to provide either a terminal substation room or building, free of charge to ESB Networks, as part of the arrangements to accept a connection. Users of the Distribution System to be connected at 38kV or 110kV are required to provide a site free of charge to ESB Networks and to carry out specific civil works.

Users of the Distribution System to be connected at LV may be required to provide a substation room or building or a plinth for a free-standing ‘unit’ substation, free of charge to ESB Networks, depending on the MIC and the capacity available on the local network. These requirements are set out in the ‘Distribution System Security and Planning Standards’.

In the case of a substation room or building, ESB Networks will provide a specification covering the dimensions and the construction details. Where a site is required, the specification for the dimensions and the civil works will be provided. The above details will be issued together with, or in advance, of the quotation for connection, as appropriate.

A substation facility provided by one user may subsequently be used to connect others.

In cases of a connection at 38 kV or 110 kV and where the MV system would benefit from a HV injection, a shared switching station may be built instead of a

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terminal station. In these cases, the user will only be required to bear a share of the common civil works costs.

In all of the above situations, it is a condition for connection that the substation building or site, as applicable, is legally transferred free of charge to ESB Networks. Further details relating to substations are contained in the documents ‘Conditions Governing Connection to the Distribution System’ and ‘The Distribution System Security and Planning Standards’.

6.4.7 Connections to the Distribution System at 110 kV

Demand Customers Connected at 110 kV Charges are based on 50% of the cost of the connection.

Refunds Refund Policy is the same as for other voltages, see Appendix 2.

6.5 Situations where Standard Charges do not apply

The situations where standard charges do not apply are listed here. In each case the connection charge is calculated as described in Section 5.0 above.

6.5.1 Connections for construction works (Temporary connections)

Builders connection for construction works

The connection charge for a builder’s connection is twice the Standard Charge and twice the associated network charge (on the basis that the standard connection charge includes a 50% allowance). The connection will be provided for a single purpose, e.g. construction; and will be terminated after a fixed period, i.e. re-use of connection will not be permitted.

Connections to domestic premises for completion of construction work on a single house In order to facilitate completion of construction work on a house it may be possible to provide a connection in the customer’s name, based on provision of a Temporary ETCI Wiring Certificate, i.e. before the wiring of the house is fully completed. In cases where the connection is requested at a different location to that of the permanent interface position, the connection will be treated as ‘Builder’s Connection for Construction Works’ as detailed in the previous paragraph and a separate application must be made for this connection. This connection will be removed before the permanent connection to the house can be completed.

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6.5.2 Wasting Assets Wasting assets are typically sandpits and quarries etc., where the requirement for the connection will lapse when the asset has been exploited.

The connection charge is

– 150% of the Standard Charge, based on the MIC.

A bond may be required as security for decommissioning and reinstatement charges.

6.5.3 Disturbing Loads The connection charge for a disturbing load is

1. The Standard Charge for the same size of normal load plus

2. The difference between the design cost of the connection method required for the disturbing load and the design cost of the connection method which would have catered for a normal load of the same size

6.5.4 Convenience Connections A convenience connection is one where the customer requests a more expensive connection method than the LCTAS, e.g. underground cable where an overhead line would normally be constructed, a more circuitous route to the connection point or a substation in a non-convenient location. In circumstances such as these the charge for connection is

1. The Standard Charge for the normal method of connection which would otherwise have applied, i.e. the LCTAS

plus

2. The difference between the design cost of the convenience connection method and the design cost of the normal method of connection as above

6.5.5 Enforced High-Cost Connections Some connections cost more than the LCTAS because of restrictions imposed by third parties. These may be associated with safety considerations or local authority planning issues. Examples are connections in the vicinity of airports or high-amenity / scenic areas. Additional connection costs may arise because of a requirement for cabling and / or a more circuitous route to the point of connection. In situations such as these, the charge for connection is

1. The Standard Charge for the normal method of connection which would otherwise have applied, i.e. the LCTAS

plus

2. The difference between the design cost of the ‘enforced’ connection method and the design cost of the normal method of connection as above

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6.5.6 Specific User Requirements (a) Dedicated Connection Asset

In certain circumstances, a proposed user of the Distribution System to be connected at LV may request that no other connection be made in the future from the substation. In situations such as these the charge for connection is

1. The design cost of the dedicated asset(s)

plus

2. 50% of the design cost of all other elements of the job

(b) Work to be carried out at a particular time

If a customer requests that work associated with the connection be carried out at weekends or after normal working hours, the connection charge is calculated as follows:

1. The connection charge which would have applied in normal circumstances

plus

2. 100% of the additional costs arising from the above request

6.5.7 Remote Terrain Connections may be required in remote areas, e.g. mountain tops for such as repeater stations, communications transmitters etc. In the majority of these situations, the connection asset is effectively ‘dedicated’, a ground-mounted substation is often necessary due to security of supply considerations and the transformer size may be mismatched to the MIC. In circumstances such as these, the charge for connection is

– 100% of the design cost

6.5.8 Night Storage Heating The connection charge for a load which includes night storage heating is

1. The Standard Charge based on the load (MIC), excluding the NSH element(s), plus any additional charges that would normally apply, e.g. network charges, trenching (if applicable) etc.

plus

2. Twice the difference between the Standard Charge corresponding to the total load and the Standard Charge at one above.

6.5.9 Standby Connection at MV

The Distribution System Security and Planning Standards requires that standby will be available (except in exceptional circumstances) for single point loads ≥ 1MVA. Therefore, for a looped MIC ≥ 1MVA or a tail-fed MIC < 1MVA, the charge for connection is calculated in the normal way, i.e. Standard Charge plus network charges and any other charges (as applicable), e.g. trenching, shared network etc.

However, where the user requests a standby connection for an MIC < 1MVA, the connection charge is

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1. The Standard Charge for the ‘forward feed’ method of connection, calculated in the normal way as above

plus

2. The design cost of the additional network required to provide the standby connection

6.5.10 Automatic Changeover Automatic changeover is not normally provided to users of the Distribution System. In the event of a specific request for ACO, the matter should be referred to Commercial and Customer Section, Asset Management.

7.0 Review Arrangements The charges described in this document are based on the construction costs of the least-cost technically-acceptable solution.

ESB’s Standard Costs provide the installed cost for each item of electrical plant. The Standard Costs are revised on average once or twice per year using current material and labour costs.

The connection charges are recalculated and submitted to CER annually for their approval.

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Appendix 1: Statement of Charges for Connection to the Distribution System 2006

1. About this document This document describes the current charges for connection to the distribution system.

All terms in this statement have the meanings given to them in the Distribution Code and in the General Conditions for Connection of Industrial and Commercial Customers and Generators to the Distribution System.

2. Applying for a Connection The ‘Guide to the Process for Connection to the Distribution System’ provides information on applying for a new connection or for increased or reduced capacity for an existing connection.

On receiving a completed application, ESB Networks will provide a quotation (which is incorporated into a Connection Agreement). Please see the ESB Networks Customer Charter for service guarantees.

The Connection Agreement incorporating a quotation sets out:

• The cost of connection.

• The period for which the terms will remain valid (e.g. for business customers this is 3 months).

• Any other conditions which may apply.

The cost of connection quoted is subject to ESB Networks obtaining any wayleaves or easements required from landowners or planning approvals, where these are necessary. The cost of connection quoted is subject to change in the event of unforeseen construction conditions e.g. forestry conflicts, etc. Revised terms and a quotation will apply in any of these events.

The terms are accepted by signing the Connection Agreement and returning it with full payment plus any other documentation specified in the agreement to ESB Networks. Acceptance of terms includes those set out in the Distribution Code, General Conditions for Connection and any / all conditions as amended and approved by the Commission for Energy Regulation from time to time.

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3. Details of Charges

Notes:

1. Connection Charges are subject to VAT of 13½%. In this document, connection charges for one-off domestic connections are shown inclusive of VAT and all other charges exclusive of VAT. This is shown clearly in each charge table.

2. The charges quoted are based on the principle of the least cost technically-acceptable solution (LCTAS) as defined in ‘The Distribution System Security and Planning Standards’.

Where the customer chooses a more costly connection, the customer bears the cost difference.

3. The charges are based on the connection asset remaining in service for a minimum period of 20 years. Where it is known that the duration will be shorter, a reduced allowance and hence higher charge will apply.

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Table A1.0 Domestic Non-Scheme Connection Charges

Description Maximum Import Capacity

kVA

Connection Charge

including VAT

( € )

Standard Connection5 12 kVA 1,710

Enhanced Connection 16 kVA 2,318

Upgrade Connection 12kVA to 16kVA 1,018

Granny Flat 12 kVA 157

Non-dwelling Farm Building 3kVA 50% of Design Costs

Special Connection 17kVA to 29kVA 50% of Design Costs

Capacities ≥ 30 kVA ≥ 30 kVA

Business

Connection

5 This level is to meet European standard EN50160

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Table A2.0 Domestic Scheme Connection Charges Standard Charges for Small Domestic Developments (2-19 Houses) excl. VAT Connection Capacity 12kVA

Average Length of Roadway per House (m) No. of

Houses

11 2 3 4 5 6 7 8 9 10 11 12 13 14

2 2246 6see footnote

3 2985 see footnote

4 3725 see footnote

5 4464

6 5204

7 5943

8 6683

9 6519 6745 6971 7196 7422 7648 7858 8084 8294 8519 8745 8955 9181 9391

10 7145 7400 7654 7908 8162 8416 8652 8906 9142 9396 9650 9886 10140 10376

11 7772 8054 8337 8619 8901 9184 9446 9728 9990 10273 10555 10817 11100 11362

12 8399 8709 9020 9330 9641 9951 10240 10550 10839 11149 11460 11748 12059 12347

13 9025 9364 9703 10042 10380 10719 11034 11373 11687 12026 12365 12680 13018 13333

14 9652 10019 10386 10753 11120 11487 11828 12195 12536 12903 13270 13611 13978 14319

15 10278 10674 11069 11464 11859 12255 12622 13017 13384 13779 14175 14542 14937 15304

16 10905 11328 11752 12175 12599 13023 13416 13839 14233 14656 15080 15473 15896 16290

17 11532 11983 12435 12887 13339 13790 14210 14662 15081 15533 15984 16404 16856 17275

18 12158 12638 13118 13598 14078 14558 15004 15484 15929 16409 16889 17335 17815 18261

19 12785 13293 13801 14309 14818 15326 15798 16306 16778 17286 17794 18266 18774 19246

Connection Capacities of 13 – 29 kVA

use 50% of Design Costs

Connection Capacities of MIC ≥ 30 kVA

treated under Business Charges

6 For two, three and four house domestic developments an upper limit of 50 metres average length of roadway per house applies.

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Table A2.1 Domestic Scheme Connection Charges Standard Charges for Housing Schemes (20 houses or more) excl. VAT Connection Capacity 12kVA

Average Length of Roadway per House (m) Connection Capacity

1 2 3 4 5 6 7 8 9 10 11 12 13 14

Standard Connection

Charge per house

671 697 724 751 778 805 830 856 881 908 935 960 987 1012

Connection Capacities of 13 – 29 kVA

use 50% of Design Costs

Connection Capacities of MIC ≥ 30 kVA

treated under Business Charges

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Table A3: Business Demand Customer Connection Charges (MIC 2kVA to 5000kVA)

Maximum Import Capacity (kVA)

Standard Charge (per installation)

Dedicated LV Connection Single Phase < 2kVA 10m clipped € 250 50m UG only € 310 50m UG joint hole € 930 50m UG (Br Joint) € 1,640 LV OH/UG <200m € 1,490 Pole & Trafo € 2,600

Single Phase LV Connection 15 € 1,120 30 € 1,900

Three Phase LV Connection 15 € 1,620 30 € 2,530 50 € 3,530 75 € 4,670

100 € 5,660 150 € 7,150 200 € 7,920 250 € 8,200 300 € 8,590 350 € 9,200 400 € 9,830 450 € 10,960

LV Connection 500kVA to 1000kVA See Table A6

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Table A3: Business Demand Customer Connection Charges (MIC 2kVA to 5000kVA)

Maximum Import Capacity (kVA)

Standard Charge (per installation)

MV Connection (10kV or 20kV) < 500 € 8,360

600 € 9,710 700 € 11,200 800 € 12,550 900 € 14,030

1,000 € 15,790 1,200 € 18,620 1,400 € 21,450 1,600 € 24,290 1,800 € 27,130 2,000 € 29,950 2,200 € 32,790 2,400 € 35,620 2,500 € 36,970 2,600 € 38,460 2,800 € 41,300 3,000 € 44,120 3,200 € 46,960 3,400 € 49,790 3,600 € 52,630 3,800 € 55,460 4,000 € 58,290 4,200 € 68,550 4,400 € 79,470 4,600 € 99,990 4,800 € 121,300

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Table A4: Business Demand Customer Connection Charges (MIC 5MVA to 15MVA)

Maximum Import Capacity (kVA)

Standard Charge (per installation)

MV Connection (10kV or 20kV) 5,000 € 143,300

5,200 € 166,240 5,400 € 189,860 5,600 € 205,640 5,800 € 222,240 6,000 € 239,650 6,200 € 257,730 6,400 € 276,760 6,600 € 296,460 6,800 € 317,100 7,000 € 338,430 7,200 € 360,550 7,400 € 383,490 7,600 € 407,250 7,800 € 431,800 8,000 € 457,170 8,200 € 467,970 8,400 € 478,760 8,600 € 489,560 8,800 € 500,350 9,000 € 511,150 9,200 € 521,940 9,400 € 532,740 9,600 € 543,530 9,800 € 554,330

MV Connection (20kV) 10,000 € 565,120 10,200 € 596,830 10,400 € 629,490 10,600 € 662,950 10,800 € 697,360

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Table A4: Business Demand Customer Connection Charges (MIC 5MVA to 15MVA)

Maximum Import Capacity (kVA)

Standard Charge (per installation)

11,000 € 732,570 11,200 € 768,610 11,400 € 805,580 11,600 € 843,360 11,800 € 881,960 12,000 € 921,490 12,200 € 961,970 12,400 € 1,003,260 12,600 € 1,045,360 12,800 € 1,088,270 13,000 € 1,132,130 13,200 € 1,176,930 13,400 € 1,222,400 13,600 € 1,268,950 13,800 € 1,316,180 14,000 € 1,364,360 14,200 € 1,413,480 14,400 € 1,463,260 14,600 € 1,514,140 14,800 € 1,565,690 15,000 € 1,618,170

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Table A5: Business Demand Customer Connection Charges (MIC 15MVA to 20MVA) Note that due to network constraints MV connections over 15MVA may not be offered. However, this Table may be used for small increases where technically possible.

Maximum Import Capacity (kVA)

Standard Charge (per installation)

MV Connection (20kV) 15,000 € 1,618,170 15,200 € 1,639,760 15,400 € 1,661,350 15,600 € 1,683,080 15,800 € 1,704,670 16,000 € 1,726,260 16,200 € 1,747,850 16,400 € 1,769,440 16,600 € 1,791,030 16,800 € 1,812,620 17,000 € 1,834,210 17,200 € 1,855,800 17,400 € 1,877,390 17,600 € 1,898,990 17,800 € 1,920,580 18,000 € 1,942,290 18,200 € 1,963,880 18,400 € 1,985,470 18,600 € 2,007,060 18,800 € 2,028,650 19,000 € 2,050,240 19,200 € 2,071,830 19,400 € 2,093,420 19,600 € 2,115,010 19,800 € 2,136,600 20,000 € 2,158,190

MV Connection (20kV) > 20MVA

See Table A7

38 kV Connection Same as for MV

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Table A6: Business Demand Customer Connection Charges (MIC 500kVA to 1000kVA) Note that due to higher capacity charges and higher DUoS charges, LV connections over 500kVA may not be economical for the customer. However, this Table may be used for small increases where technically possible.

Maximum Import Capacity (kVA)

Standard Charge (per installation)

LV Connection 500 € 11,560 550 € 12,880 600 € 14,210 650 € 15,290 700 € 16,610 750 € 17,940 800 € 19,260 850 € 20,580 900 € 21,900 950 € 23,220

1,000 € 24,540

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Table A7: Business Demand Customer Connection Charges (MIC 20MVA to 25MVA) Note that due to network constraints MV connections over 15MVA may not be offered. However, this Table may be used for small increases where technically possible.

Maximum Import Capacity (kVA)

Standard Charge (per installation)

MV Connection (20kV). 20,200 € 2,179,920 20,400 € 2,201,510 20,600 € 2,223,100 20,800 € 2,244,690 21,000 € 2,266,280 21,200 € 2,287,870 21,400 € 2,309,460 21,600 € 2,331,050 21,800 € 2,352,640 22,000 € 2,374,230 22,200 € 2,395,820 22,400 € 2,417,410 22,600 € 2,439,140 22,800 € 2,460,730 23,000 € 2,482,320 23,200 € 2,503,910 23,400 € 2,525,500 23,600 € 2,547,090 23,800 € 2,568,680 24,000 € 2,590,270 24,200 € 2,611,870 24,400 € 2,633,460 24,600 € 2,655,050 24,800 € 2,676,760 25,000 € 2,698,350

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Table A8: MV Network Charges and Trenching Charges

Network Charge for new network in

(€) per metre MV Overhead Line

Single Phase LV (Unmetered) € 10.30 Single Phase LV (Metered) € 5.10 3 Phase (< 5MVA) € 8.30 3 Phase (>= 5MVA) € 10.60

MV Underground Cable

Single Phase LV (Unmetered) € 15.00 Single Phase LV (Metered) € 7.50 3 Phase (70/185s) € 14.80 3 Phase (400s) € 24.60 Trenching Charge for trenching work in

(€) per metre Road/Path € 140.52 Grass € 43.54

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Table A9: Business Demand Customer Connection Charges Supplementary charge where MV MIC is greater than 500 kVA and more than 7 km from the

station

km 8 9 10 11 12 13 kVA 14 15

600 1,000 2,100 3,100 4,200 5,200 6,300 7,300 8,400700 2,100 4,200 6,300 8,400 10,500 12,600 14,700 16,800800 3,100 6,300 9,400 12,600 15,700 18,900 22,000 25,200900 4,200 8,400 12,600 16,800 21,000 25,200 29,400 33,600

1000 5,200 10,500 15,700 21,000 26,200 31,500 36,700 41,9001100 6,300 12,600 18,900 25,200 31,500 37,700 44,000 50,3001200 7,300 14,700 22,000 29,400 36,700 44,000 51,400 58,7001300 8,400 16,800 25,200 33,600 41,900 50,300 58,700 67,1001400 9,400 18,900 28,300 37,700 47,200 56,600 66,100 75,5001500 10,500 21,000 31,500 41,900 52,400 62,900 73,400 83,9001600 11,500 23,100 34,600 46,100 57,700 69,200 80,700 92,3001700 12,600 25,200 37,700 50,300 62,900 75,500 88,100 100,7001800 13,600 27,300 40,900 54,500 68,200 81,800 95,400 109,0001900 14,700 29,400 44,000 58,700 73,400 88,100 102,700 117,4002000 15,700 31,500 47,200 62,900 78,600 94,400 110,100 125,800

Table A10: Business Demand Customer Connection Charges Supplementary charge where 38kV MIC is greater than 2500 kVA and connected to circuits longer than 18km

km

20 25 30 35 40 45 50 kVA 55 60 3000 € 1,900 € 6,700 € 11,400 € 16,200 € 20,900 € 25,700 € 30,400 € 35,200 € 40,0003500 € 3,800 € 13,300 € 22,800 € 32,300 € 41,900 € 51,400 € 60,900 € 70,400 € 79,9004000 € 5,700 € 20,000 € 34,200 € 48,500 € 62,800 € 77,100 € 91,300 € 105,600 € 119,9004500 € 7,600 € 26,600 € 45,700 € 64,700 € 83,700 € 102,700 € 121,800 € 140,800 € 159,8005000 € 9,500 € 33,300 € 57,100 € 80,900 € 104,600 € 128,400 € 152,200 € 176,000 € 199,8005500 € 11,400 € 40,000 € 68,500 € 97,000 € 125,600 € 154,100 € 182,700 € 211,200 € 239,7006000 € 13,300 € 46,600 € 79,900 € 113,200 € 146,500 € 179,800 € 213,100 € 246,400 € 279,7006500 € 15,200 € 53,300 € 91,300 € 129,400 € 167,400 € 205,500 € 243,500 € 281,600 € 319,6007000 € 17,100 € 59,900 € 102,700 € 145,600 € 188,400 € 231,200 € 274,000 € 316,800 € 359,6007500 € 19,000 € 66,600 € 114,200 € 161,700 € 209,300 € 256,900 € 304,400 € 352,000 € 399,6008000 € 20,900 € 73,300 € 125,600 € 177,900 € 230,200 € 282,500 € 334,900 € 387,200 € 439,5008500 € 22,800 € 79,900 € 137,000 € 194,100 € 251,100 € 308,200 € 365,300 € 422,400 € 479,5009000 € 24,700 € 86,600 € 148,400 € 210,200 € 272,100 € 333,900 € 395,700 € 457,600 € 519,4009500 € 26,600 € 93,200 € 159,800 € 226,400 € 293,000 € 359,600 € 426,200 € 492,800

€ 559,40010000 € 28,500 € 99,900 € 171,200 € 242,600 € 313,900 € 385,300 € 456,600 € 528,000 € 599,300

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Notes on Business Demand Customer

Connection Charges Note 1 The standard charge includes the appropriate transformer capacity charge and the

direct cost of connection and metering. MV overhead lines, MV underground cables and trenching where carried out by ESB are charged seperately on a "euro per metre" (€/m) basis. A revenue allowance has been given where appropriate.

Note 2 MV overhead line is charged on a "euro per metre" (€/m) basis. The €/m for 3ph MV up to 5MVA is weighted to include 150’s AL,92’s SCA, 50’s CU and 50’s SCA based on total km of each conductor type used, above 5MVA the €/m is based on 150's AL. The €/m charge for 1ph is based on 50’s SCA. Both 1ph and 3ph €/m charges are weighted to include bog, rock and standard ground conditions.

Note 3 MV underground cable is charged on a "euro per metre" (€/m) basis, 3 x 70/185’s and 3 x 400's XLPE are separately shown. Trenching is not included and if carried out by ESB is charged on a €/m basis.

Note 4 Additional charge where trenching (MV or LV) is carried out by ESB. The charge is weighted for footpaths and roadways in concrete or bitmac. Granite footpaths not included. Separate charge is shown for trenching in grass.

Note 5 The standard charge includes 38 kV and MV capacity charges. A supplementary charge is added if the entire MV circuit exceeds 7.0 km and MIC exceeds 500kVA. A supplementary charge is added if the entire 38kV circuit exceeds 18.0 km and MIC exceeds 2500kVA. Details on Table A8 and A9.

Note 6 LV connections in the range 500 kVA - 1000 kVA are possible but due to charges for MV/LV transformer capacity (as well as MV & 38 kV capacity charges) they are more costly. Details on Table A6.

Note 7 The standard charge for 38kV connections is the same as the standard charge for the MIC level at MV and can be taken from the MV table. A supplementary charge must be added if the entire 38kV circuit length exceeds18.0 km and the MIC exceeds 2500 kVA, details on Table A9. New 38kV Lines/Cables charged at 50%.

Note 8 For MIC > 5MVA, any new 38kV/110kV network is chargeable as a capital contribution at 50% of Attributable Costs . The Attributable Cost of the 38kV/110kV network is determined as a proportion of the firm capacity of the station taken up by the customer. If the customer was taking up 60% of the station then the customer would be charged 50% of 60% of the cost of the 38kV/110kV lines / cables. eg MIC 15MVA, new 110kV line to new station required, station a 2x20MVA station with a firm capacity of 25MVA, customer charged 50% of 15/25ths (MIC/Firm Capacity 15MVA/25MVA) of the cost of the new 110kV line.

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Appendix 2: Refunds in Respect of Shared Network

Description Detail

1 Refund amount Permanent connections

=MIC2*CC*/(MIC1+MIC2)

Temporary connections:

=MIC2*CC*period/((MIC1+MIC2)*term)

where:

MIC1 = maximum import capacity in kVA of existing connection.

MIC2 = MIC of new connection

CC = the capital contribution originally charged in respect of the shared asset excluding any standard charge.

Period = The expected time the connection will be used (years) or 40, whichever is the shorter

Term = term of connection agreement for original connection or 40, whichever is the shorter.

2 Charge in respect of the shared asset.

(This is the charge made to the new user who is connecting to the original connection asset.)

1. Where the percentage allowance applying to the original quotation was greater than or equal to that applying to the new quotation: - Equal to the refund amount.

2. Where the percentage allowance applying to the original quotation was less than or equal to that applying to the new quotation: Equal to the refund amount normalised to the allowance applying to the new quotation.

This is included in the connection charges in respect of the second connection.

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Description Detail

3 Eligibility 1. The interval from the date the original connection agreement/terms were paid to the date of the payment for the second connection must be no more than five years.

2. The refund is paid to the individual or company who accepted the connection agreement/terms for the original connection.

3. Refunds are made in respect of any connection where a connection agreement is in place.

4. Refunds are made in respect of capital contributions not covered by a standard charge.

5. Refunds of less than €70 or where the original contribution was less than €700 are not processed.

6. Developers quoted under the Business Parks Policy are not eligible for a refund under any circumstances.

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