On 8 March 2019 we released a final decision paper for our operating expenditure (opex) productivity growth forecast review. The final decision presents further analysis of the available information and considers the issues raised by stakeholders in their submissions. It concludes that an annual operating expenditure productivity growth rate of 0.5 per cent reflects a reasonable forecast of the productivity growth a prudent and efficient electricity distributor can make. We intend to adopt this opex productivity growth forecast when we review the opex forecasts proposed by electricity distributors from now on.
Final decision
AER - Final decision - Forecasting productivity growth for electricity distributors - 8 March 2019
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Consultant reports
We have commissioned expert advice for our final decision.
Economic Insights - Memorandum to the AER Opex team - Forecast Opex Productivity Growth - 4 February 2019
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Economic Insights - AER DNSP Opex Productivity Growth Files - 28 February 2019
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Economic Insights - Memorandum to the AER Opex team - Appropriate specification for the inclusion of the share of underground cables variable in opex cost function models - 28 February 2019
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Economic Insights - AER Share of Undergrounding Analysis - 28 February 2019
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Deloitte Access Economics - Note on labour productivity estimates - 1 March 2019
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