On 18 May 2026, AusNet submitted a cost pass through application to the AER, seeking to recover costs incurred in relation to its distribution network as a result of the bushfires in the Longwood and Walwa regions that occurred in January 2026.
AusNet submitted that it had incurred total incremental costs of $40.7 million ($2025–26) across capital and operating expenditure, including costs associated with emergency response, repair and restoration services, external audit, and Guaranteed Service Level payments. AusNet proposed an increase in its revenue allowance of approximately $16.1 million (nominal, smoothed), to be recovered in the 2027–28 regulatory year.
The AER has determined that the January 2026 bushfires met the definition of a natural disaster pass through event, and that the incremental costs meet the materiality threshold for a positive change event. The AER has approved a positive pass through amount of $4.6 million ($nominal, smoothed) to be recovered in the remaining four years of the 2026–31 regulatory control period.