Type
Sector
Electricity
Segment
Transmission
Status
Historical
Date initiated
Effective date
Date completed
Categories
Cost benefit analysis
Forecasting best practice

On 3 July 2025, we published a statement of reasons outlining our decision not to undertake a review of the Cost Benefit Analysis (CBA) and Forecasting Best Practice (FBP) guidelines in response to recent rules released by the Australian Energy Market Commission.

Background

On 19 December 2024, the Australian Energy Market Commission released final rules on Improving consideration of demand side factors in the ISP” and “Better integration of gas and community sentiment in the ISP”. 

As part of this release, each rule contained a transitional clause that required the AER to review our CBA and FBP guidelines and, where necessary or desirable, amend and publish them. 

Decision

Consistent with this outcome, we have released a statement of reasons that outline our position on the compatibility of the current guidelines to the content of the final rules, and why we did not consider it necessary or desirable to amend the guidelines at this time.