IPART is an independent regulator in New South Wales 

Since 2015, IPART is responsible for regulating the safety of NSW electricity network assets. In this role, we monitor compliance with the requirements of the Electricity Supply (Safety and Network Management) Regulation 2014 (ESSNM Regulation) by both licensed (Ausgrid, Endeavour Energy, Essential Energy and Transgrid) and non-licensed network operators with electricity network assets within NSW.

The ESSNM Regulation requires network operators to have a safety management system in place that complies with AS 5577-2013 Electricity network safety management systems and deals with the management of bush fire risk related to electricity lines, aerial consumers mains and other assets that are capable of starting a fire.

While focussed on addressing risks, no safety management system can guarantee that network assets or private aerial consumers mains will not provide an ignition source for a fire. Given the nature of electricity assets and the extensive network of overhead lines that operate within NSW, this risk cannot realistically be eliminated completely.

However, IPART is responsible for undertaking regulatory functions to hold the network operators to account in taking all reasonable steps to ensure their networks are safe, including reasonable steps to prevent bush fires that may be ignited by network assets.

IPART’s approach to compliance

We take a risk-based approach to prioritise how we target compliance. This means that we target our compliance resources toward the areas of risk that are most likely and have the highest consequence. IPART’s Compliance and Enforcement Policy sets our principles of compliance and enforcement, risk‑based regulatory model, compliance approach and enforcement action decision-making framework.

Bush fire risk management is an ongoing compliance priority for IPART. IPART closely monitors the network operators’ bush fire risk management through:

  • review of the annual bush fire risk preparedness reports
  • information gathering (such as requesting progress updates on outstanding inspections and rectification of asset/vegetation defects), and 
  • IPART directed audits.

IPART holds the network operators to account to address any non‑compliances.

Electricity network operators provide IPART with an annual bush fire preparedness report prior to the upcoming bush fire season. The network operators report on their targeted pre summer bush fire inspections which identify asset and vegetation defects that could impact their network during the bush fire season. They also report on the progress of managing these asset and vegetation defects. IPART holds network operators to account for taking all reasonable steps to prevent bush fires that may be ignited by network assets.

In the event of a major bush fire that impacts a network (and the community served by the network) or potentially initiated by a network, IPART will pursue information on the event and/or the impacts on the community from loss of supply to determine any compliance actions, if required, within IPART’s regulatory responsibilities in response to the event. IPART will also seek to share information about incidents within the industry so that any lessons may be learned more broadly.