On 28 October Ergon Energy submitted a cost pass through application to the AER, seeking to recover costs incurred as a result of Tropical Cyclone Kirrily. 

Ergon Energy is proposing an increase in its revenue allowance of approximately $13.6 million ($nominal, smoothed) to be recovered in 2025–26, the first year of its next regulatory control period.

We invite energy consumers and other interested parties to make submissions on Ergon Energy's cost pass through application by close of business Friday, 24 January 2025.

The AER’s role is to determine whether a positive change event as defined in the NER has occurred, and if so what is the incremental revenue amount which should be passed through to network users. In order to best assist and inform the AER in making its determination, interested parties may wish to address the following questions:

• Does Cyclone Kirrily meet the definition of a cost pass through event under clause 6.6.1(a1) of the NER and Ergon Energy’s current revenue determination?
• Is the increase in costs that Ergon Energy has incurred as a result of the event material?
• Are the costs identified by Ergon Energy incremental to costs already allowed for in its current revenue determination, and related solely to the occurrence of the pass through event?
• Are the decisions and actions Ergon Energy has taken in relation to the event efficient? 
• Are there any other factors the AER should take into account in making its determination?

Submissions should be emailed Attention: Arek Gulbenkoglu, General Manager, Network Expenditure to: AERInquiryaer [dot] gov [dot] au (AERInquiry[at]aer[dot]gov[dot]au)

Alternatively, you may mail submissions to:

Mr Arek Gulbenkoglu
General Manager
Australian Energy Regulator
GPO Box 3131
Canberra, ACT, 2601

We prefer that all submissions be publicly available to facilitate an informed and transparent consultative process. We will treat submissions as public documents unless otherwise requested. All non-confidential submissions will be placed on the AER's website. For further information regarding the AER's use and disclosure of information provided to it, see the ACCC/AER Information Policy.

We request parties wishing to submit confidential information:

• clearly identify the information that is the subject of the confidentiality claim
• provide a non-confidential version of the submission in a form suitable for publication