CitiPower keeps costs down in plan for a stronger, smarter electricity network

Electricity distributor CitiPower has today unveiled a $1.2 billion plan to power Melbourne’s growth and increase in electrification, while maintaining a reliable and affordable power network for homes and businesses.

Under the 2026-31 Draft Regulatory Proposal, there will be no increase to the annual network costs for CitiPower’s residential customers.

Over the next five years, inner Melbourne’s population is predicted to increase by 275,000 people, with annual energy consumption rising by 26 per cent, renewable generation expected to triple and 22 per cent of cars forecast to be electric. Communities are significantly expanding with new housing and infrastructure developments underway.

CitiPower’s draft investment package is designed to meet these challenges, ensuring our network continues delivering reliable and safe power for more than 349,500 customers across Melbourne.

CitiPower General Manager Regulation, Renate Vogt, said thousands of customers had helped shape the investment proposal and had made it clear what they wanted CitiPower to deliver.

“Our network plays an essential role in our customers’ daily lives so it’s critical that our investments meet their expectations and respond to our changing environment, while keeping costs down,” Ms Vogt said.

“We are proposing to build a smarter network to manage more electric vehicle charging and support an increase in electrification, while ensuring our network continues delivering the reliable power Melbourne’s businesses, sporting and cultural precincts and residents rely on.”

Proposed investments include:

• $196 million to enable growth, electrification and uptake of customer energy resources, including introducing flexible export products to unlock additional solar through smarter solutions and enabling all customers to have universal access to standard wall-charging.
• $73 million for modernising our low-capacity network and meet our Melbourne CBD supply security obligations.
• $47 million cyber security package to increase our cyber security protections and market compliance.

“The rising cost of living is placing pressure on many of our customers so keeping network costs as low as possible has been important,” Ms Vogt said.

“We already operate the lowest-cost network in Victoria and this plan continues to find smarter ways to maximise how we are using the network to get the most value for our customers.”
CitiPower conducted its largest ever customer and industry engagement program to help develop its plans for the 2026-2031 period, engaging more than 7,780 customers over the past four years.

“This plan is for our customers and shaped by our customers,” Ms Vogt said.

The community now has an opportunity to provide feedback on the five-year draft plan before CitiPower submits it to the Australian Energy Regulator for approval in early 2025. A series of workshops will be held across Victoria during September and October.

To find out more or to have your say, visit https://engage.citipower.com.au