This presentation was delivered by Shelley Ashe at the AER Public Forum event on 7 August 2019. The slides discuss Jemena Gas Networks’ 2020-25 access arrangement proposal and how it relates to the long term interests of consumers.

Affordability is a priority for households and small businesses and is Energy Consumers Australia’s focus in applying the long-term interests of consumers test when reviewing revenue proposals.

JGN’s estimate is that this proposal will result in bill savings of 11 per cent  (or approximately $150) for the average residential customer over the period of the access arrangement. When combined with a ‘hand-back’ of over-recovered revenue during the current period (2015-2020), this will increase to 18 per cent, or $244.

This is welcome relief for consumers at a time when they are facing significant affordability challenges.

Presentation sections

• Our vision for the market
  • The long-term interests of consumers (LTIC) test
  • The Pub Test
  • Aligning interests
  • Our regulatory philosophy
• What consumers are telling us
• Identifying the problem
  • Timing – key observations
  • Capital Expenditure Incentive Mechanism
• Where to from here?

The full presentation can be viewed here.