On 5 June 2020, we released our final decision on Ergon Energy's electricity distribution determination for the 2020-25 regulatory control period. Our final decision is set out in the Overview and accompanying attachments. As a number of issues were settled at the draft decision stage or required only minor updates, we have not prepared all attachments. In these circumstances our draft decision reasons form part of this final decision.
Final decision
Final decision - Ergon Energy distribution determination 2020-25 - Overview - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 1 - Annual revenue requirement - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 2 - Regulatory asset base - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 3 - Rate of return - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 4 - Regulatory depreciation - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 5 - Capital expenditure - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 6 - Operating expenditure - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 7 - Corporate income tax - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 12 - Classification of services - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 14 - Pass through events - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 15 - Alternative control services - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 17 - Connection policy - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment 18 - Tariff structure statement - June 2020
Final decision - Ergon Energy distribution determination 2020-25 - Attachment A - Negotiating framework - June 2020
Consultant reports
Reports commissioned by the AER in preparing our final decision for Ergon Energy
Deloitte Access Economics - Labour Price Growth Forecasts prepared for the AER - 20 March 2020
Economic Insights - Comments on 2019 Frontier Economics Benchmarking Reports for Energex and Ergon Energy - 11 March 2020
Economic Insights - Energex and Ergon Energy updated Opex productivity - 25 March 2020
Models
AER final decision models for Ergon Energy
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Capex Model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - CESS model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Depreciation model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - EBSS - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Metering Capex - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Metering Opex - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Metering PTRM - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Metering RFM - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - OEF calculations summary short period - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Opex Model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - PTRM - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting Capex CON - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting Capex LED - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting Opex - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting Pricing Model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting PTRM CON - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting PTRM LED - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Public Lighting RFM - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - Repex Model - Public - June 2020
AER - Final Decision - Ergon Energy distribution determination 2020-25 - RFM - Public - June 2020
Update - Legacy tariff review
Our final decision on Ergon Energy's 2020-25 TSS proposal required Ergon Energy to undertake a review of a small number of legacy tariffs inadvertently excluded from its TSS proposal. The initial deadline for a report of this review to be submitted to us was 31 December 2020 but we granted an extension to 26 February 2021.
In line with our final decision, Ergon Energy submitted its legacy tariff review report on 26 February 2021. The report confirms that Ergon Energy does not have customers assigned to legacy tariffs, and these tariffs apply only to Energex. We have assessed the report and are satisfied with Ergon Energy's review.
Update - Control mechanisms
On 26 November 2021, the AER revoked and substituted the 2020-25 determination for Ergon Energy to correct an error in the control mechanisms attachment to facilitate an appropriate transition from the previous version of the service target performance incentive scheme (STPIS 1.2) to its latest version (STPIS 2.0).
All other aspects of the determination remain as per the AER’s final determination which was originally made on 5 June 2020.