ERAWA Operational Audit and Asset Management Review

Nickel West operations

Cardno has undertaken operational licence performance audits and asset management reviews for electricity generators, transmission, distribution and retail licensees under the Economic Regulation Authority Western Australia’s regulatory framework since 2014.

The Economic Regulation Authority of Western Australia (ERAWA) is responsible for regulating the economic framework for gas, electricity and water in Western Australia. Its primary objective is to ensure the provision of a competitive and fair environment, particularly where businesses operate as natural monopolies. 

Electricity generators, transmission entities, distributors and retailers are required to operate in accordance with operating licences issued by the ERAWA. These licences are governed by the Electricity Act 2004 (WA) and outline a duty to provide services and to establish and maintain an asset management system on the assets used in the provision of the service.

Cardno was commissioned by BHP Billiton Nickel West to undertake an operational licence performance audit and an asset management review in accordance with the ERAWA’s requirements. BHP Billiton Nickel West operates a small distribution network in the mining town of Leinster – the Northern Electrical System (NES) - and a small non-contiguous network to five mining customers in the Kambalda region - the Southern Electrical System (SES).

Following the success of the 20147 audits, Cardno was re-commissioned by BHP Billiton Nickel West to undertake the subsequent audit in 2019.