Overview

Merits review

Multinet applied for review of the AER's access arrangement decision for its Victorian gas distribution network to the Australian Competition Tribunal (Tribunal).

Multinet sought review of the AER's decision on the following matter:

  1. The AER's determination of Multinet's opening capital base as at 1 January 2013, specifically, the AER's adoption of the Essential Services Commission's capital expenditure benchmark for 2012.

The National Gas Law requires an applicant to apply to the Tribunal for leave to apply for review.

Merits review - Australian Competition Tribunal orders

In July 2013, the parties applied to the Tribunal to make a determination by consent that the matter be remitted to the AER to remake its decision under r. 64(4) of the NGR.

On 31 July, the Tribunal made its determination and directed the AER to calculate the opening capital base by reference to conforming capital expenditure made by Multinet in 2012, and not by reference to the ESCV’s forecast of 2012 capital expenditure. The AER is currently undertaking an assessment in accordance with these orders. 

Australian Competition Tribunal - Orders - 31 July 2013

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Authors
Australian Competition Tribunal

Merits review - AER decision

On 8 October 2013, the AER remade its decision in accordance with the Tribunal’s orders. The AER has remade Multinet’s access arrangement information and Part B of Multinet’s access arrangement to reflect its decision.