AER Final f-factor amount determinations for calendar year 2012

Following public consultation, we decided to confirm our decision to adopt our previously published draft determination, on 20 June 2013, for the 2012 fire start results.

Under this determination, each of the Victorian DNSPs will receive a reward under the scheme as their actual number of fire starts for the 2012 year were below that of their respective fire start targets. This will mean a small increase in network tariffs of between $0.03 to $3.16 for the 2014 calendar year, depending on a customer’s distribution area. The table below provides further details of the average impact on customers' network charges for 2014. 

The f-factor is an incentive scheme. DNSPs can only retain their rewards for sustained and continuous improvements. Once improvement is made, the benchmark fire-start targets will be tightened in future years.