The Australian Energy Regulator (AER) is inviting registrations of interest to join a new Consumer Reference Group (CRG). The purpose of this CRG is to facilitate consumer input into our review of inflation-related issues in both electricity and gas regulatory determinations.
We place stakeholder engagement at the centre of our work. We recognise that the decisions we make and the actions we take in performing our regulatory roles and other activities affect a wide range of individuals, businesses and organisations. Our vision is for our stakeholders to have the opportunity to engage with us across a range of our functions.
In keeping with this approach, the CRG will bring a wider range of consumer views to inform our thinking on the regulatory treatment of inflation.
Recently, the method for estimating expected inflation in our regulatory determinations has been the subject of debate. Expected inflation is an important parameter for modelling future revenues in both electricity and gas regulatory determinations.
Our method for estimating expected inflation is set out in the Post-Tax Revenue Model (PTRM) and the use of this method is mandated by the National Electricity Rules. To fully consider inflation-related issues that have been raised with us, we have initiated an industry-wide consultation and review.
The first step of this consultation and review was the publication of our discussion paper on the regulatory treatment of inflation on 18 April 2017. The CRG will provide customer perspectives directly for our consideration. The submissions from stakeholders will inform our next steps as set out in section 1.3 of the discussion paper.
We anticipate two CRG meetings will be held by video conference from our offices in May 2017. The first meeting will focus on knowledge building, while the second meeting will be an opportunity for us to listen to consumer perspectives.
Depending on the progress of our review, the CRG could continue until the end of this year.
Registration of interest
Please register your interest by emailing CRG@aer.gov.au before 5pm, 5 May 2017. Please briefly detail the consumer perspectives that you would bring to the CRG.
Please do not hesitate to contact Matthew Simpson on (03) 92901969 or Sarah Paloni on (02) 6243 1007 for any enquiries or questions about the CRG.