AER - Cost allocation methodology and ring-fencing for EII regulated transmission services - Guidance Note - May 2025

In December 2024, the NSW Department of Climate Change, Energy, Environment and Water made several legislative changes. This included the repeal of clause 42 of the Electricity Infrastructure Investment Regulation and the addition of Chapter 9A (NSW) into the NER.

These changes mean Transmission Network Service Providers who are also Network Operators under the EII Act will no longer be required to follow the Cost allocation guideline - Electricity Infrastructure Investment Act - Draft and Legal and functional separation guideline - Electricity Infrastructure Investment Act - Draft that we published under the Electricity Infrastructure Investment Act. They will now be required to follow the equivalent guidelines published under the NER. Our guidance note sets out how these changes have impacted all Network Operators, whether they are existing Transmission Network Service Providers, Distribution Network Service Providers or are yet to be registered under the NER. 

This version of the guidance note is based on Chapter 9A (NSW) published on 13 December 2024.