The Australian Energy Regulator (AER) today published its determination on Essential Energy’s cost pass through application to recover costs associated with restoration work required after the 2019–20 bushfire disasters in northern and southern New South Wales.
We have approved a total of $31.3 million ($nominal) that Essential Energy can pass through to its customers over 2 years starting in 2022–23.
Residential customers are estimated to pay an extra $11 per year, and small business customers an extra $42 per year, as a result.
Our approved pass through amount is based on what we consider to be efficient spending by Essential Energy in their recovery effort, so that consumers pay no more than necessary for safe and reliable energy.
Our determination is a reduction of $2.5 million from Essential Energy’s original application as we were not satisfied that some costs (fleet costs and vegetation management costs) were sufficiently justified or were incurred solely as a consequence of the bushfires.