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Electricity > Determining Revenues > Distribution Network

DETERMINING ELECTRICITY DISTRIBUTION REVENUE

 

Our Electricity Distribution Price Review (EDPR) proposal to the Australian Energy Regulator (AER), and its response, determines the revenue we can earn from electricity distribution for a five-year period.

 

This is a significant amount - around $3 billion dollars over five years1. Hence, it is crucial that our revenue proposal reflects the things that matter to our customers.

 

Below is some information on the proposal, including information about the process and how you as customers can participate.

 

AusNet Services' electricity distribution network carries electricity through 50,000km of powerlines to more than 670,000 customers living and working in Melbourne's urban fringe into northern and eastern Victoria, including the rugged mountain terrain and remote coastal areas. Find out more about AusNet Services electricity distribution

 

Our Customer Program

 

As part of our revenue proposal process, AusNet Services runs a program of activities that allow customers to give feedback and be informed.

 

Our customers are a diverse group that includes residents, small businesses, large commercial operations, schools, hospitals, farms and more. Each group has specific interests so we run activities that cater for these differences. These include community forums and technical workshops.

 

The feedback we receive from recent activities will help us finalise our revenue proposal for the five-year period from 1 January 2016 to 31 December 2020  - which we are submitting to the regulator in late April 2015. 

 

Electricity Distribution Customer Program Timeline

 

 

Through forums and research, customers and their advocacy groups are telling us what aspects of electricity matter to them. They are also learning about our business, our industry and the way we are regulated.  

 

News

 

Upcoming activities and our latest publications  

 

Electricity Distribution Plans for 2016 to 2020

 

In April 2015, AusNet Services lodged our electricity distribution plans (EDPR proposal) to the AER for the five-year period from 2016 to 2020.

 

We also developed a customer-friendly overview of our EDPR proposal, to help explain how we propose to balance the competing priorities of network costs, safety and reliability over the next five years.

 

In January 2016, we submitted a revised proposal to the AER in response to its preliminary decision.

 

On 26 May 2016, the AER released its final decision on AusNet Services' distribution determination for the 2016-20 regulatory control period.

 

On 14 November 2016, the Australian Competition Tribunal (ACT) heard AusNet Services’ EDPR appeal. The appeal, lodged in June 2016, was heard in conjunction with the appeals of other Victorian distribution businesses. 

 

It is not yet known when the ACT’s decision will be handed down.

 

Introducing the Energy Insights series

 

We recently developed a series of papers that seek to explain some key areas of customer interest around electricity distribution. These papers, collectively termed the Energy Insights series are based on material presented at our Technical Insights Workshops, held between June and August 2014. Broadly, the series covers:

 

If you’re looking for a high-level summary of these issues, or you’d like to deepen your understanding of AusNet Services, the Energy Insights series could help.

 

Customer focus group findings released

 

In December 2014, we ran a series of eight focus groups as part of our EDPR customer engagement program. This form of engagement aimed to explore customer priorities and preferences in more depth. This included customer views on trade-offs between reliability and cost. This work builds on the findings we had gathered in the initial consultation phase of our program. (See timeline).

 

Focus group sessions were held in regional and metropolitan areas and involved a cross-section of our customer base. This piece of research provides some interesting insights into customer views.

 

Click here to view or download a copy of the report.

 

What are our customers telling us?

 

We have published a report that summarises the findings from our initial customer consultation work. Our aim was to capture the general sentiments of the majority of customers who were involved in this work. We would like to thank these customers for helping us develop and validate this report.

 

Click here to download the customer engagement report.

 

 

Footnote  

* Broad estimate. Revenue for electricity distribution Jan 2016 - Dec 2020 to be determined by Australian Energy Regulator.

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