The Australian Energy Regulator (AER) today published its determinations on Energex and Essential Energy’s cost pass through applications to recover costs related to the widespread flooding events which occurred in late February to early March 2022.
Our decision is to approve positive pass through amounts of $18.1 million (nominal, smoothed) for Energex, and $2.2 million (nominal, smoothed) for Essential Energy.
The National Electricity Rules recognise that a distribution network service provider may apply to recover additional costs incurred during a regulatory control period if predefined events occur as specified in their revenue determination. We are satisfied the late February to early March 2022 flood meets the definition of a natural disaster event as set out in Essential Energy and Energex’s revenue determinations.
We estimate that the approved cost pass through amounts will add around:
- $7 to the average Energex residential customer's bill in 2024-25.
- $2 to the average Essential Energy residential customer's bill in 2023-24.