Type
Sector
Electricity
Segment
Distribution
Issue date

The AER is seeking written submissions on Ergon Energy’s application to renew its waiver from clauses 3.1(b) and 4.2 of the Ring-fencing guideline (electricity distribution).

On 14 October 2024, the AER received an application for a ring-fencing waiver from Ergon Energy to provide field services on behalf of Powerlink.

These field services would include operating, maintaining, constructing and refurbishing Powerlink owned or controlled transmission assets in Ergon Energy’s distribution area which covers regional and remote areas of Queensland. 

Ergon Energy currently holds a waiver to provide these services to Powerlink, however the waiver expires on 30 June 2025. Ergon Energy has applied for a renewal of their existing waiver until 2035 (the maximum allowable period under the electricity distribution ring‑fencing guideline).

On a related but separate matter to this specific waiver assessment, the AER is currently consulting on changing the terms on the duration of waivers in the guideline. This would allow the AER to consider what is the most appropriate term for a waiver, including for a longer period than is currently allowable – including for this Ergon waiver renewal application.