Australia’s Underground Power Cables: Costs and Benefits


Few people disagree with the proposition that the sinking of electricity cables below ground makes a street or an area more attractive, but implementing such an improvement on a national scale is a formidable challenge. It is one which seems unlikely to be addressed in the foreseeable future.

Less than 7 per cent of Australian homes are served by underground power. This figure conceals the paradox that big areas in outer suburbs have this amenity, while unsightly overhead wiring remains in older suburbs, despite the fact that some of these older suburbs are close to city centres and attract premium property values.

Efforts to increase the area served by underground power vary across Australia. In most States, underground power connection is compulsory in newly developing outer suburban subdivisions, but in general it can be said that there is little political will to do more.

At first glance, a proposal to have underground power conduits shared with cable TV and other telecommunications would seem attractive-even more so with the growing Australia-wide resentment of television cables being strung along street poles, and the increasing anger of local governments and their constituents at this unsightly ‘invasion’.

However, the advocates of underground power throughout Australia are wary and even opposed to any quick embrace of cable TV, for they see the issues being so complex that they are likely to delay the sinking of electricity power lines. Engineers point out that these complexities are such that the sharing option has not been widely debated.
Introduction

It would cost up to $50 billion to put all of Australia’s existing overhead power lines underground. This figure has been conservatively calculated after discussing the issue with executives in a number of distribution systems, and it is based on precise calculations made in specific areas. It is a considerable investment, similar to the current total investment in the nation’s power generation and transmission systems; but if this cost can be faced, the benefits, even in dollars and cents, are considerable.

In countries where there is a shortage of land it is sometimes attractive to bury high voltage lines. In the Philippines, for example, the sale of the easement on which overhead lines have been built has yielded enough money to bury them and make a profit.

In most Australian states, underground power delivery is compulsory in new, outer suburban subdivisions and this has had some impact in recent years. It is estimated that between 150 000 and 200 000 new homes are connected to underground power supplies each year throughout Australia, and over a number of decades this will result in a significant proportion of the national housing stock having underground connection.

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