On 28 October 2024 Ergon Energy submitted a cost pass through application to the AER, seeking to recover costs incurred as a result of Tropical Cyclone Jasper.
This severe weather event caused damage to Ergon Energy’s network in December 2023 and interrupted supply to approximately 50,000 customers, including those affected by subsequent flooding.
Ergon Energy submitted that it had incurred total incremental costs of $23.2 million ($2023–24) across capital and operating expenditure. Ergon Energy proposed an increase in its revenue allowance of approximately $22.1 million ($nominal, smoothed) to be recovered in 2025–26, the first year of its next regulatory control period.
On 24 April 2025, AER determined that Cyclone Jasper met the definition of a natural disaster pass through event, and that the incremental costs meet the materiality threshold for a positive change event. We consider the approved pass through amount should be recovered by Ergon Energy in 2025–26 and 2026–27.