ElectraNet has today welcomed the Australian Energy Regulator’s (AER) final revenue determination on its revised Revenue Proposal which will reduce electricity transmission prices for South Australian consumers.
Steve Masters, Chief Executive of ElectraNet said that the AER’s decision to accept ElectraNet’s proposed expenditure forecasts will reduce the transmission component of the average electricity bill in 2018-19 by $17 for a residential customer and $33 for a typical small business customer.
“Throughout the regulatory process we have been focused on identifying ways we can deliver price reductions for customers while ensuring we provide a safe, secure and reliable power supply,” Mr Masters said.
“Today’s final determination by the AER is great news for consumers because it approves our proposed reduction in transmission charges and associated expenditure reductions, while maintaining service levels for customers.
“This includes a 39 per cent reduction in our capital expenditure and a 9 per cent reduction in our operating expenditure.”
Mr Masters said comprehensive engagement with customer representatives and stakeholders throughout the regulatory process played a central role in helping develop ElectraNet’s revenue proposal.
“Throughout our engagement, South Australian power customers told us that they expected affordability, reliability and choice when it came to their power supply, which shaped our plans and proposals,” Mr Masters said.
“Over the next five years customers can be confident that our power supply meets these expectations while also allowing us to manage the growing challenges of a changing electricity generation mix.
“I’d like to thank everyone who has been involved in helping us shape and finalise our proposal, in particular our Consumer Advisory Panel and members of the community who provided valuable feedback throughout the consultation.”
Every five years ElectraNet submits a Revenue Proposal outlining the program of work and forecast revenue needed to operate and maintain South Australia’s electricity transmission network to the AER. The AER reviews and consults on all aspects of the proposal before making a final determination.
Today’s announcement by the AER is the final step in the regulatory determination process.
The new regulatory period commences on 1 July 2018.
For more information about ElectraNet’s regulatory proposal visit www.electranet.com.au.
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