AER - Draft guidance note cover letter - Regulation of large transmission projects - December 2020

On 18 December 2020, we published a draft guidance note that will assist stakeholders in understanding how we intend to regulate large transmission projects (identified as ‘actionable’ in AEMO’s ISP). The draft guidance note covers:

• the key considerations for the AER in assessing contingent project applications for actionable ISP projects
• how the regulatory process can be staged for actionable ISP projects, in some circumstances, by lodging multiple CPAs with the AER
• how we may apply ex-post measures when capital expenditure forecasts contain actionable ISP project costs.

We have published an accompanying letter, which introduces the draft guidance note and explains how we have responded to stakeholder feedback received through the focus groups.