AER: Issues paper for ACT businesses’ operating costs for 2014-2019

The AER has released an issues paper seeking views on how to revise its decision on operating costs for NSW and ACT electricity distributors, following a Full Federal Court decision on the matter in May.

The issues paper will affect the operating expenditure for electricity distributors Ausgrid and Endeavour Energy in NSW and ActewAGL in the ACT for the 2014-19 period.

The AER’s original decisions in April 2015 proposed significant reductions to the businesses’ proposed operating costs. The difference in operating costs sought by the three businesses and the AER’s final decisions was $1064 million ($2013-14).

Since the AER’s determination, each network business has improved its operating efficiency and is moving towards the operating expenditure forecasts used by the AER in that 2015 determination.

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