On 15 October 2024, Victorian electricity distributor Jemena applied to the AER to revoke and substitute its distribution determination for the 2021-26 regulatory control period, to adjust the total forecast capital expenditure (capex) approved in our April 2021 final decision.
Jemena seeks to recover an additional $100.5 million ($2021, net of capital contributions) in capital expenditure from its customers within the 2021-26 period. This would result in a proposed increase of $32 million ($2021, smoothed) to the revenue Jemena recovers from its customers in 2025-26.
Background
The AER made its final decision on Jemena’s 2021-26 electricity distribution determination in April 2021. Jemena has applied to reopen its distribution determination through clause 6.6.5 of the National Electricity Rules. Clause 6.6.5 allows distribution network service providers to apply for revocation and substitution of their determinations in order to adjust approved capital expenditure where certain criteria are met. Our role is to determine whether Jemena has satisfied these criteria, and if so what adjustments to its approved capital expenditure and any resultant change in revenue recovered from customers is appropriate.
