On 31 July 2009 the AER released its draft determination on the DNSPs’ initial AMI budget and charges applications, covering metering charges for the period 2010 and 2011. In assessing the budget applications, the AER applied the various expenditure tests as required by the OIC and also sought assistance from its technical consultant, Energeia. While the AER was not required to issue a draft determination on the DNSPs’ charges applications under the OIC, it did so in combination with its budget determination in order to promote consultation on charges prior to its final determination on 31 October.

The AER conducted a public forum on 21 August 2009 which outlined key aspects of its AMI draft determination and provided the opportunity for stakeholders to raise issues and ask questions.

The OIC required that where the AER's draft determination on the initial AMI budgets rejected a DNSP's proposed budget, the DNSP must submit an amended submitted budget within 20 business days of the AER's draft determination. The AER received amended submitted budgets from CitiPower, Powercor and SP AusNet. United Energy Distribution submitted an amended budget that accords with the AER’s draft determination. The AER did not receive an amended submitted budget from Jemena as the draft determination approved Jemena's initial AMI budget application.

Submissions closed 11 September 2009.

In addition to revised budget applications, the DNSPs submitted the following information in response to the AMI draft determination regarding their charges applications.