Energy Consumers Australia thanks the Senior Committee of Officials for the opportunity to comment on the draft Statutes Amendment (National Energy Laws) (Binding Rate of Return Instrument) Bill 2018 (the Draft Bill).
At a time when households and small businesses are facing significant energy affordability challenges, it is critical that they do not pay a dollar more than is necessary for their network services. Making sure the regulatory framework the laws and rules that determine how network services are specified and revenues set works to deliver that outcome is a national policy priority of the highest order.
We support the proposition that the approach for determining the allowed rate of return for regulated businesses should be made in one common decision rather than separately as part of each individual network revenue proposal. We therefore support the introduction of a binding rate of return instrument in the form outlined in the Draft Bill and accompanying Bulletin issued by the COAG Energy Council.
If you would like to discuss anything related to this matter further, please email Oliver Derum or call him on 02 9220 5514.
Full submission can be read here.