AusNet Services' transmission tower collapse cost pass through application

On 10 July 2020 we received a cost pass through application from AusNet Services seeking to recover costs incurred in relation to a localised severe wind event on 31 January 2020, which impacted AusNet Services' double circuit 500kV transmission line in south western Victoria, causing the collapse of six towers and significant damage to a seventh. AusNet Services submits that the tower collapse event has resulted in a material increase in costs, and constitutes a natural disaster event under the cost pass through provisions of the National Electricity Rules and the AER’s final decision on AusNet Services’ transmission determination 2017–2022. To recover these costs AusNet Services proposes a positive pass through amount of approximately $2.5 million. The pass through amount constitutes a small proportion of the actual costs of the event ($25.0 million), as the capital costs incurred will be recovered over the life of these long lived assets.

The AER will now assess this application and invites submissions from interested parties.

Invitation for submissions

We invite energy consumers and other interested parties to make submissions on AusNet Services' pass through application by close of business on Friday 31 July 2020. 

Submissions should be emailed to: AERInquiry@aer.gov.au with the subject line: Attention: Sebastian Roberts, General Manager, Transmission and Gas.

Alternatively, you may mail submissions to:

Mr Sebastian Roberts
General Manager
Australian Energy Regulator
GPO Box 520
Melbourne, Victoria, 3001

We will take into account submissions in making our determination on AusNet Services' application.

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.
Sector: 
Segment: 
Issued date: 
16 July 2020
AER reference: 
AC 102/20
Contact: 
AER General Inquiries AERInquiry@aer.gov.au