The Australian Energy Regulator (AER) has approved the gas transmission tariffs proposed by APA Victorian Transmission System (APA) for 2025.
This follows a thorough assessment by the AER of APA’s tariff variations and proposed drivers to ensure they comply with the requirements of the approved 2023–27 access arrangement.
In 2025, APA’s transmission tariffs will increase by up to 8.0%. This increase is driven by inflation of 2.8%, an allowed revenue path of 3.0%, and an adjustment of 2.0% to accommodate under-recoveries of allowed revenue.
These transmission network charges will apply from 1 January 2025 until 31 December 2025 and reflect the minimum required for APA to continue to provide a safe and reliable service and to meet regulatory obligations.
The Statement of Reasons and approved tariff variation proposal can be viewed here.
Background
Gas bills are made up of the wholesale costs, retail margins, and network charges. Our annual pricing review relates only to the network charges component of the bill.
Every year regulated gas distribution and transmission pipeline businesses submit a tariff variation notice to us that contains the network tariffs they propose to charge their customers to recover their revenues.