AusNet Services - Cost pass through - 2019-20 bushfire natural disaster

Sector: 
Segment: 
Status: 
Region: 
Commencement date: 
27 May 2020
Effective date: 
1 July 2021
Contact: 
AER General Inquiries AERInquiry@aer.gov.au
AER reference: 
11469782

Overview

On 27 May 2020, AusNet Services submitted an application to the AER for a positive pass through of $14.71 million for costs associated with the 2019-20 bushfires. AusNet Services proposed that this pass through amount should be recovered from electricity users through an increase in AusNet Services' distribution network prices in the first half of 2021.

The AER has determined that a cost pass through is appropriate and meets the National Electricity Rule requirements. However, the AER has determined that some costs originally proposed by AusNet Services should not be included and that the pass through amount should be recovered from electricity users over a longer timeframe. The AER has determined the following cost pass through amounts:

  • $2,901,474 ($nominal) to be recovered in 2021-22
  • $3,038,023 ($nominal) to be recovered in 2022-23
  • $3,180,997 ($nominal) to be recovered in 2023-24
  • $3,330,700 ($nominal) to be recovered in 2024-25
  • $3,487,449 ($nominal) to be recovered in 2025-26