The Australian Energy Regulator (AER) has released a compendium of regulatory guidelines for electricity transmission (the compendium). The compendium is intended as a user-friendly compilation of the AER's guidelines. It is largely based on approaches developed by the Australian Competition and Consumer Commission, but draws all of the material together as a complete set of reference documents.
The AER will adopt these guidelines as a starting point for its own approach to electricity transmission regulation. These guidelines will evolve over time in consultation with industry participants and energy users, and the compendium will be updated accordingly. The AER will monitor the effectiveness of these guidelines and will review aspects in response to issues raised by industry and other interested parties and as circumstances, theory and best practice regulation develop over time.
As well as reflecting the AER's role as national regulator, the guidelines also incorporate the revised structure of electricity regulation arrangements under the national electricity law. The compendium, which is attached below, includes:
- the statement of regulatory principles for the regulation of electricity transmission services
- the regulatory test
- service standard guidelines
- guidelines for the negotiation of discounted transmission charges
- transmission ring fencing guidelines
- information requirement guidelines
- the post-tax revenue model and a handbook explaining the model.