Under the NGL and National Gas Rules the AER has the function of reviewing and approving the terms of the Proposals. The Proposals contain the terms, including prices, under which the Service Providers propose to provide gas retailers with access to their networks for the period 1 January 2013 to 31 December 2017. The AER assesses the terms of the Proposals against the National Gas Objective which is set out in the NGL. Following the review the AER must make a final decision to approve, or refuse to approve a Proposal.
On 24 September 2012, the AER released its draft decision not to approve Envestra's access arrangement proposal. The draft decision required Envestra to submit a revised access arrangement proposal to the AER by 9 November 2012.
On 15 March 2013, the AER released its final decision not to approve Envestra's revised access arrangement proposal. The AER will make a decision giving effect to its own proposal within two months of its final decision.
Access arrangements pre 2013
Before coming under the regulation of the AER, the gas distribution network access arrangements for Envestra were approved by the Essential Services Commission of Victoria (ESC).