Draft background paper - 18 August 2004

In August 2003 the ACCC issued a discussion paper seeking comments on the DRP released in May 1999. The ACCC subsequently issued the:

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

The ACCC, through its review of the DRP, 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
• weighted average cost of capital (WACC).