On 19 April 2012, the Federal Court delivered its judgment dismissing Ergon Energy's application to review the Australian Energy Regulator's 2010 electricity distribution determination.
Ergon Energy argued that the AER did not have power under the National Electricity Rules to regulate street lighting services. Ergon Energy argued that street lighting services were not a 'distribution service.'
In its judgment, the Federal Court agreed with the AER and dismissed Ergon Energy's application.
"The AER is pleased that the Federal Court agreed with the AER's reasons. Street lighting customers, which are mainly local councils, continue to have the assurance of regulatory oversight where there isn't competition for these services," AER chairman Mr Andrew Reeves said.
"The court's decision means that street lighting customers will continue to pay prices at levels consistent with the AER's electricity distribution determinations," Mr Reeves said.
The Federal Court ordered Ergon Energy to pay the AER's costs.