On 24 April 2020 we published our Framework and Approach for Victorian transmission service provider, AusNet Services.
AusNet Services is the Victorian electricity transmission business. Its next 5 year regulatory control period commences on 1 April 2022. Under the NER, AusNet Services is required to submit its regulatory proposal to us by 31 October 2020. However, prior to that date, the NER requires us to review the current Framework and Approach (F&A) that applies to AusNet Services and decide whether to amend or replace it.
The F&A is the first step in the process to determine efficient prices for electricity transmission. The F&A sets out how we propose to apply a range of incentive schemes and other guidelines as well as our approach to calculating depreciation. The F&A also facilitates early consultation with consumers and other stakeholders and assists electricity transmission businesses prepare expenditure proposals.
The positions we set out in the F&A paper are not binding on the AER or AusNet Services.