The AER has today released a decision to grant a ring-fencing waiver to Ergon Energy, from clauses 3.1(b) and 4.2 of the Ring-fencing guideline (Electricity distribution). This waiver replaces an existing waiver that is due to expire on 30 June 2025 and will allow Ergon Energy to provide specialised support services to and on behalf of Powerlink until 30 June 2040.
This is the first waiver that the AER has granted with an extended duration. We consider this duration appropriate, given the stability of service arrangements and the lack of concerns raised in response to consultation on this application or when the existing waiver was granted. We consider that a longer‑term waiver gives greater certainty for Powerlink that it can continue to access specialised support services in a cost-effective and safe manner over a longer period, to the long-term benefit of customers.
Our decision follows consultation with stakeholders from 9 December 2024 to 24 January 2025, including on the potential for a longer‑term waiver to be granted. We received no submissions, which informed our decision-making process. The decision notice sets out further detail on our reasons for granting the waiver.