Overview

Final decision - Statement of regulatory principles (SRP)

On 1 July 2005 the AER assumed the Australian Competition and Consumer Commission's (ACCC) responsibilities for the regulation of transmission revenues in the National Electricity Market. In December 2004 the ACCC finalised the statement of regulatory principles (SRP) process by issuing the following documents:

  • Statement of principles for the regulation of electricity transmission revenues—background paper (SRP background paper)
  • Statement of principles for the regulation of electricity transmission revenues (SRP). This document is a consolidated version of the revised regulatory principles set out at the end of each chapter of the SRP background paper.

The statement of principles for the regulation of electricity transmission revenues takes into account submissions and consultation in relation to the August 2003 discussion paper seeking comments on the Draft regulatory principles (released in May 1999) and the draft statement of principles for the regulation of electricity transmission revenues (draft SRP) released in August 2004.

In the SRP, the ACCC took measures to increase certainty of investment for transmission networks through its decisions on the value of the asset base, the capital expenditure (capex) framework and the weighted average cost of capital (WACC). The ACCC also took measures to implement a more incentive-based regime through its decisions on capex and operating and maintenance expenditure. 

Statement of regulatory principles - background paper - 8 December 2004

Authors
AER
Content type
Document

Statement of regulatory principles - 8 December 2004

Authors
AER
Content type
Document

Position - Regulatory accounting methodologies

The AER has released a position paper inviting comments from interested parties on two accounting approaches in relation to the recognition of the timing of capital expenditure in a transmission network service provider’s regulatory asset base.

The AER’s Statement of Regulatory Principles does not provide any guidance on this issue and the AER has previously provided flexibility in terms of an accounting approach that may be applied by the TNSP’s. The AER’s preliminary position based on an examination of the issues identified in the paper is to favour an “as-incurred” accounting approach that should be applied by all TNSP’s.

AER position paper accounting methodologies

Authors
AER
Content type
Document

Submissions - to Regulatory accounting methodologies

Submissions closed 17 October 2005

AGL submission to regulatory accounting methodologies - 17 October 2005

Authors
AGL
Content type
Document

EnergyAustralia submission to regulatory accounting methodologies - 17 October 2005

Authors
EnergyAustralia
Content type
Document

Ergon Energy Submission to regulatory accounting methodologies - 17 October 2005

Authors
Ergon Energy
Content type
Document

TNO submission to regulatory accounting methodologies - October 2005

Content type
Document

TransGrid submission to regulatory accounting methodologies - October 2005

Authors
Transgrid
Content type
Document

United Energy submission to regulatory accounting methodologies - 17 October 2005

Authors
United Energy Distribution
Content type
Document

VENCorp - letter to submission on regulatory accounting methodologies - 14 October 2005

Authors
VENCorp
Content type
Document

Late submissions

ElectraNet Letter to submission on regulatory accounting methodologies - 14 November 2005

Authors
ElectraNet
Content type
Document

Energy Action Group submission to regulatory accounting methodologies - 28 October 2005

Authors
Energy Action Group
Content type
Document

Integral Energy submission to regulatory accounting methodologies - 18 October 2005

Authors
Integral Energy
Content type
Document

Major Energy Users submission to regulatory accounting methodologies - 21 October 2005

Authors
Major Energy Users Inc (MEU)
Content type
Document

Powerlink submission to regulatory accounting methodologies - 9 November 2005

Authors
Powerlink Queensland
Content type
Document

Transend submission to regulatory accounting methodologies - 15 November 2005

Authors
Transend Networks Pty Ltd (Transend)
Content type
Document