The Underground Power Program in South Freo and City South

So, it’s all happening.

The project to underground electricity supply in South Fremantle and City South is officially underway.

Here’s the affected area –

As you’ll see, it covers an area from Norfolk Street in the north, to the end of Walker Street in the south, and from the sea in the west nearly to Hampton Road in the east.

However, you won’t see any actual works on or under the ground for some time to come, indeed not until around 2027, and when the works do commence it’ll take around 3 years, into 2030, to complete. So don’t hold your breath, just yet.

The old adage, of course, is ‘forewarned is forearmed’. You can begin to mentally, and financially, prepare yourself if you own a property in the project area or run a business there.

So you can appreciate the range of work being done before under-grounding works physically commence, here’s the expected timeline of things –

* January 2025 – March 2025 – Tender for design process
* March 2025 – March 2026 – Design process commences. Includes 4 stages to be carried out over 12 months
~ Stage 1 – Design contractor identifies pillar locations and prime equipment sites
~ Stage 2 – Ground penetration reports and testing carried out. Street light design progressed, and sites verified.
~ Stage 3 – Technical design completed
~ Stage 4 – Construability review and design check. Property connection list confirmed.
* Late 2026 – Final cost estimate confirmed (+/-10%)
* Late 2026 – early 2027 – Construction tender
* Mid 2027 – Construction commences
* Mid 2030 – Construction complete.

The project, which carries the unlikely acronym TUPP – targeted underground power program – is all about replacing ageing infrastructure, from Western Power’s point of view, and improving the amenity of affected neighbourhoods, from the City’s and many supportive residents’ points of view.

This is how Western Power often depicts the TUPP process.

Another way to imagine it is comparing the ‘before and after’ scenario on a South Freo street like South Street near Attfield.

South Street near Attfield. Before. Supplied image

South Street near Attfield. After image. Supplied

In July 2023, the City of Fremantle signed a memorandum of understanding with Western Power to progress to a detailed design.

Discussions with Western Power followed the successful undergrounding of Hilton’s electricity infrastructure earlier in 2023. In November 2024, however, the City deferred the proposed service charge payable by residents under the TUPP model to finance the City’s contribution to the project, so ratepayers in South Fremantle and City South could have more time to understand the benefits of underground power.

Needless to say, like many things, the project brings with it both pain and gain.

Dealing first with the gain, the obvious gain is the replacement of aging power infrastructure, and the early 21st century decluttering of many streets in the project area. No more in-the-road power poles. Arguably prettier streets. Clearer view paths. Better narrow street parking options. More trees perhaps.

Western Power describe the gains as –
* Improved public safety – with improved street lighting neighbourhoods are safer, and removing poles may result in fewer car collisions.
* Improved reliability and security – once the power is underground, you’ll experience fewer disruptions after major storm events, which means reduced likelihood of unplanned power outages.
* Improved street appearance – No power lines create a more aesthetically pleasing neighbourhood.
* Increased property value – the absence of poles and wires and the inclusion of new street lighting has a positive impact on property values.
* Reduction in street tree pruning – Property owners and Local Government save on maintenance costs, while also allowing the tree canopy to flourish.
* Lower life-cycle costs – underground power has minimal maintenance and operating costs.
* Improved opportunity for emerging technologies – helps pave the way for innovation and caters better to future power demand.

The pain will include the cost to individual property owners of contributing to the overall cost of the works, and the inconvenience and disruption residents and business operators within the project area will collectively and street-by-street experience over the life of the physical under-grounding works.

The project area is rated by Western Power as difficult as any they need to contend with. Certainly more difficult than the recent undergrounding in Hilton. It is characterised by narrow streets, old services underground (possibly in the pathway of the under-grounding works), and whatever hard geological formations are encountered underneath. Just what challenges are likely to present themselves should be discovered during Western Power’s design stage over the next 12 months.

Western Power is responsible for initiating the project, and will use contractors and subbies to carry out the works and see them through.

As at January 2025 the total estimated cost of the project is $53.8m (+/- 30%). On average, this equates to a cost of approximately $24,000 per property to complete the project.

City of Freo is very much the junior ‘joint venture’ partner in the project, and called upon to contribute 20% of the cost.

Delivery of the underground infrastructure will cost an estimated $48.6m. Delivery of property connections will cost approximately $5.2m. Western Power will contribute $42.8m, roughly in the order of 80% according to the City.

The City of Fremantle will finance its 20% contribution of $10.7m to the project by collecting a resident contribution via a service charge as part of annual rates notices over a 7-year period, starting this coming financial year. By doing this, the City avoids having to borrow to fund its contribution.

City of Fremantle would like to fix the City’s 20% contribution sum so it doesn’t creep up in time and lead to higher residents’ payments than currently anticipated. A sensible thing to do to avoid grumpy residents down the track when told the cost of the 20% contribution has gone up.

Two service charges will be payable –
* A transmission infrastructure service charge
* A property connection service charge.

The transmission infrastructure service charge relates to upgrades to the broader network distribution infrastructure and power supply. This charge will apply to all properties (whether or not they currently have underground power), as it is an upgrade to the broader network that everybody utilises.

The amount an individual property is to be charged is calculated based on the average KvA usage of that property type as determined by Western Power. The average KvA usage rates for property types as provided by Western Power are as follows:
* Single residential – 7.7 (1345 properties)
* Multi Dwelling (2-4 Units) – 6.2 (401 properties)
* Multi Dwelling (5-10 Units) – 4.4 (170 properties)
* Multi Dwelling (10+ Units) – 4 (337 properties)

Property types with a lower average KvA will be charged less than property types with a higher average KvA.

Estimated costs for the infrastructure transmission charge will range from $1,532 for a small unit in an apartment complex ($219 per year for 7 years) through to $2950 for a single residential dwelling ($422 per year for 7 years).

The property connection service charge will apply to properties that are currently connected via the overhead system of poles and wires, and will require the property to be connected to the new underground supply.

Properties that already have an underground connection (green dome) and do not require any works to connect to the new underground supply will not be required to pay this service charge.

It is currently estimated that approximately 30% of properties in the project area are already connected to underground power and will not be required to pay the property connection service charge.

This charge is calculated by dividing the total cost of this part of the project (around $5.2m) by the number of properties in the project area that are likely to require a connection.

Estimate costs for the property connection service charge are currently estimated to be $4287 per property ($612 per year over 7 years).

So, there is the pain and the gain!

The message in short is that underground power is coming to all in South Fremantle and City South, but you won’t see it for a good few years down the track.

Just where Western Power will decide to start the works and what impact they works will have won’t be known for some time.

However, residents will start paying the two service charges before long. The City says the intention is that the charges will be added to rates notices this year, which will go out early in the new financial year.

* By Michael Barker, Editor, Fremantle Shipping News

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