ElectraNet has today submitted its response to the Australian Energy Regulator’s (AER) draft revenue decision for the five years commencing 1 July 2018.
Steve Masters, Chief Executive of ElectraNet said the revised Revenue Proposal delivers a reduction in transmission prices of 12 per cent.
“This reduction means the transmission component of the average annual residential electricity bill in 2018-19 will decrease by approximately $20 and $41 for a typical small business customer,” Mr Masters said.
“The revised proposal delivers further price reductions for customers compared to our original proposal.
“The focus of our response to the AER is to balance safety, affordability, security and reliability of supply for electricity customers,” Mr Masters said.
On 26 October 2017, the AER released its draft decision on ElectraNet’s Revenue Proposal and ElectraNet has largely accepted the regulator’s decision.
“Engagement with customers has played a significant and important role in helping us shape our plans and priorities throughout the regulatory process. Their message to us has consistently been the need for an affordable and reliable supply,” Mr Masters said.
“Our plan for the next 5 years responds to the latest developments in the energy sector, while also keeping costs down.
“Transmission represents a small and declining share of the delivered cost of electricity and is projected to decrease to about 6 per cent of an average residential electricity bill by the end of the coming regulatory period.
“As part of our ongoing drive for least cost outcomes, our plans include a 39 per cent reduction in our capital program,” Mr Masters said.
Public submissions on the AER’s draft decision close on 29 January 2018 and it’s anticipated that a final determination will be made by the end of April 2018.
The new regulatory period commences on 1 July 2018.
For more information about ElectraNet’s response visit www.electranet.com.au
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