The AER is required under the transitional provisions of Chapter 11 of the National Electricity Rules (the transitional chapter 6 rules) to make a distribution determination for NSW DNSPs in relation to their respective electricity distribution networks. The determination will establish network charges for the period 2009-2014.
On 2 June 2008, the NSW DNSPs-EnergyAustralia, Country Energy, Integral Energy-each submitted a regulatory proposal together with supporting information to the AER.
The AER conducted the preliminary examination of the NSW DNSPs' regulatory proposals required under clause 6.9.1 of the transitional chapter 6 rules and found that the proposals satisfied the requirements of the regulatory information notices and the NER.
The AER's proposed negotiable component criteria and negotiated distribution service criteria
Under clause 6.7A.4 of the transitional chapter 6 rules, the AER's distribution determination for DNSPs must set out the Negotiable Component Criteria (NCC). The NCC will be applied by DNSPs to negotiate the terms and conditions of access for negotiable components of direct control services. The NCC will also be used by the AER in resolving any dispute between DNSPs and a person wishing to receive a negotiable component including the variation of prices that are to be charged and any access charges that are to be paid.
The NCC determined by the AER must give effect to, and be consistent with, the negotiable component principles set out in clause 6.7A.1 of the transitional chapter 6 rules.
In the case of EnergyAustralia, the AER's distribution determination must also set out the Negotiated Distribution Service Criteria (NDSC) to be applied to EnergyAustralia's negotiated distribution services. EnergyAustralia's negotiated distribution services are deemed under clause 6.1.6(d) of the transitional chapter 6 rules to be the same as its negotiated transmission services and include: connection services including entry, exit and TNSP to TNSP connection services; use of system services supplied by the shared transmission network that exceed or are below the networks specified performance standard under any legislation of a participating jurisdiction; use of system services relating to augmentation or extension for loads of the transmission network.
The NDSC determined by the AER must give effect to, and be consistent with, the negotiated distribution service principles set out in clause 6.7.1 of the transitional chapter 6 rules.
Public forum
The AER wishes to advise interested parties of its intention to hold a public forum on the regulatory proposals submitted by NSW DNSPs on Wednesday, 30 July 2008 in Sydney.
The public forum will provide an opportunity for each business to explain its regulatory proposal. Stakeholders will also have an opportunity to ask questions on the regulatory proposals.
Details regarding the public forum will be made available by the AER in a separate notice.
Invitation for submissions
Interested parties are invited to provide written submissions on NSW DNSPs' regulatory proposals and the AER's proposed NCC or NDSC to the AER by close of business Friday, 8 August 2008.
NSW DNSP's regulatory proposals, the AER's Explanatory Statement and Issues Paper on the proposed NCC for NSW DNSPs and NDSC for EnergyAustralia are available at the AER's website.
Interested parties can request copies of the supporting documents provided by the NSW DNSPs with their regulatory proposals by emailing aerinquiry
aer [dot] gov [dot] au (aerinquiry[at]aer[dot]gov[dot]au). Supporting documents will be provided on a CD.
Submissions can be sent electronically to aerinquiryaer [dot] gov [dot] au (aerinquiry[at]aer[dot]gov[dot]au)
Alternatively, submissions can be sent to:
Mike Buckley
General Manager
Network Regulation North Branch
Australian Energy Regulator
GPO Box 3131
Canberra ACT 2601
To facilitate an informed, transparent and robust consultation process, the AER prefers that all submissions be in an electronic format and publicly available. Accordingly, submissions will be treated as public documents and posted on the AER's website, except and unless prior arrangements are made with the AER to treat the submission, or portions of it, as confidential.