Victorian distribution network business Powercor has submitted a positive cost pass through application to the Australian Energy Regulator (AER) seeking to recover an addition $112.8 million over the next four years to pay for a new regulatory obligation to replace or reinforce 34,650 wood power poles.
Under the NER, the AER is required to assess the application and make a determination based on the principle that consumers should pay no more than necessary for safe and reliable energy. The AER is calling for submissions to assist in its determination.
The additional revenue sought in the application would increase a typical residential customer's power bill by around $2.60 each year over the remainder of Powercor's 2021–26 regulatory period.
Powercor's application also includes a proposed adjustment to its service level targets because of the higher number of planned outages that the additional pole interventions will require.
Invitation for submissions
We invite energy consumers and other interested parties to make submissions on Powercor's cost pass through application by Friday 25 March 2022.