On 15 December 2023, we published a  determination for the paired generation services component of the WSB project.

Under the Electricity Infrastructure Investment (EII) Regulations:

The AER had 42 business days to make a determination from the date we received Transgrid’s revenue proposal on 10 November 2023.

• The Regulations require us to publish our determination, subject to an assessment of confidentiality claims. Our determination includes commercially sensitive information that has been redacted for publication. To provide transparency, we are publishing aggregated information on the amounts to be paid to Transgrid for all components of the WSB project.

The AER is able to rely on and adopt the outcomes of a competitive assessment process in our determination, if we are satisfied that the process was genuine and appropriate.

• We monitored and reviewed the competitive process that EnergyCo undertook to select paired generator service providers and are satisfied that the process was genuine and appropriate. On this basis, and given that the revenue proposal from Transgrid reflected the outcomes of EnergyCo’s competitive process, we have confirmed the amounts proposed by Transgrid in our determination. The details of our assessment are set out in our determination.

Determination review and remake – March 2024

Transgrid submitted a revenue adjustment proposal to the AER on 2 February 2024 for the addition of a third Paired Generation provider to the Waratah Super Battery The revenue adjustment proposal was triggered by an adjustment mechanism in our November determination (Waratah Super Battery Determination – Paired Generation Component – November 2023).

We decided to review and remake the determination to amend the existing adjustment mechanisms. This is because we found that the adjustment mechanisms in our November determination needed to be updated to account for the addition of a third Paired Generation provider

In our review of Transgrid’s revenue adjustment proposal we remain satisfied the agreement with the third Paired Generation provider was procured in the same competitive assessment process outlined in Section 2 of the determination. On this basis we are able to adopt the outcomes from that competitive assessment process in our remade determination.