The AER wishes to notify stakeholders of its release of an issues paper as part of its review of the weighted average cost of capital (WACC) parameters for electricity transmission and distribution networks. The review is available on the AER website.
The National Electricity Rules (NER) provides that the AER may review the WACC parameters to be adopted in determinations by electricity transmission and distribution network service providers. Reviews are to be conducted every five years with the first review concluded by 31 March 2009, at which time the AER will release its final decision for both transmission and distribution. The outcomes of this review will only apply to electricity transmission and distribution determinations where the proposal is submitted after 31 March 2009 and before April 2014.
The issues paper seeks stakeholder comment on matters considered to be relevant to the AER’s review which will inform the AER’s draft and final decisions on the WACC parameters. Interested parties are not restricted to comment only on the matters raised in the issues paper. Any information which interested parties consider relevant to the review will be considered by the AER.
Following the release of the draft decision, the AER will hold a public forum for interested parties. Interested parties will have a further opportunity to provide submissions to the AER in response to the draft decision.
Interested parties are invited to make written submissions to the AER on the issues discussed in this paper by the close of business Wednesday, 17 September 2008. Submissions can be sent electronically to AERinquiry
aer [dot] gov [dot] au (AERinquiry[at]aer[dot]gov[dot]au). Alternatively, written submissions can be sent to:
Mr Chris Pattas
General Manager
Network Regulation South Branch
Australian Energy Regulator
GPO Box 520
Melbourne Vic 3001
Fax: (03) 9290 1457
The AER prefers that all submissions be in an electronic format and publicly available, to facilitate an informed, transparent and robust consultation process. 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.
Any enquiries about this issues paper, or about lodging submissions, should be directed to the AER’s Network Regulation South Branch.