In September and October 2015 the Victorian electricity distributors CitiPower, Powercor, AusNet Services, Jemena and United Energy submitted to the AER for assessment Tariff Structure Statement proposals for the 2017-2020 period. We are required by the National Electricity Rules (the Rules) to review how distributors’ proposed Tariff Structure Statements comply with new pricing rules in deciding whether to approve them.
In December 2015 we received notification from the Victorian Minister for Energy & Resources of her intention to require Victorian distributors to implement changes to distribution network pricing arrangements. The proposed amendment to the AMI Tariff Order will have the effect of requiring that cost reflective tariffs be introduced in Victoria on an opt-in basis only.
Since the Victorian distributors’ proposed Tariff Structure Statements do not contemplate the Victorian Government’s regulatory amendment referred to above, we make a draft determination not to approve the proposed Tariff Structure Statement to give the Victorian distributors opportunity to address this additional jurisdictional requirement in its revised Tariff Structure Statement proposals.
The distributors are required to submit revised Tariff Structure Statement proposals by 29 April 2016. We will undertake stakeholder consultation on the revised statements during May and June and will provide further details in due course.
We will make final determinations on the revised Tariff Structure Statements by 29 July 2016.
Our draft decisions for each Victorian distributor, along with draft amendments to the AMI Tariff Order prepared by the Victorian Government, are available on our pricing proposals and tariffs page.