Aurora Energy's cost allocation method (CAM) governs the manner in which Aurora is allowed to allocate costs to the distribution services that it provides. The allocation of costs between the services is required to accurately represent the costs incurred in providing distribution services. This prevents cross-subsidisation between the distribution and other services that Aurora provides.
Aurora's current cost allocation method was approved in May 2011 under chapter six of the National Electricity Rules. This cost allocation method replaces the CAM previously approved by the AER in June 2009. Aurora’s current cost allocation method, the AER’s determination on the cost allocation method and McGrathNicol’s review of that cost allocation method is provided below. Details of the review of the current and previous CAM are also provided below.
