Networks Pricing - 1st Regulatory Control Period
The
price regulation powers and responsibilities are set out
specifically in Part 3 of the Electricity Networks
(Third Party Access) Code.
In brief, prior to the
commencement of the first regulatory control period, the Utilities Commission
must determine the following:
-
the weighted average cost of
capital (WACC) to be used in calculating the network revenue cap;
-
the amount of the network
revenue cap for each network for the first year of the regulatory period; and
-
the X-factors to apply for to
the revenue cap in subsequent years of the regulatory period.
-
Prior to the commencement of
each regulatory control period, the network provider must provide a draft
statement of the principles to be used in setting the network access tariffs
to be charged under the cap to the Commissioner for approval.
Prior to the commencement of
each financial year, proposed reference tariffs will be provided by the network
provider for approval by the Commission.
The following papers detail the
work undertaken by the Commission in relation to Network Access Pricing in the
first regulatory control period:
Revenue Caps:
Pricing Principles:
Pricing Schedules:
Recovery of Revenue Caps:
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