On 30 January 2009, the AER released its final decision on the framework and approach applying to distributors’ budget applications for expenditure on Victorian Advanced Metering Infrastructure (AMI) for 2009-2011 and charges applications for 2010 and 2011.
In 2006, the Victorian Government decided to roll out advanced metering infrastructure (AMI) or ‘smart meters’ to all Victorian residential and small business electricity customers. The regulatory arrangements relating to the roll out are set out in a November 2008 Order in Council (OIC) made under the Electricity Industry Act 2000 (Vic). The OIC prescribes the time frame for the roll out, as well as the new regulatory framework and the AER’s responsibilities associated with the AMI roll out.
The AER’s primary function under the OIC is to review and approve budgets and charges for the AMI roll out in accordance with the requirements of the OIC.
The ESCV released a paper setting out the proposed framework and approach for the AMI cost recovery and draft information templates in December 2008. Submissions to this paper were received and passed to the AER for consideration in making its final decision.