Tarcoola to Darwin Railway - Ten year review of revenues - Archived
19 Nov 2014
Under the terms of the AustralAsia Railway (Third Party Access) Act 1999, the
Essential Services Commission of South Australia (Commission) is required to
undertake a review of the revenues received from the provision of access to the
Tarcoola – Darwin Railway (the Review) during the ten-year period ending 30 June
2013.
The purpose of the Review is to determine if excessive revenues have been
earned by the operators of the Tarcoola - Darwin Railway (the Railway) for the
provision of non-competitive railway infrastructure services during the ten-year
period ending 30 June 2013. If the Commission determines that excessive revenues
for those services had been earned (if revenues exceed costs, including a
reasonable cost of capital), the Railway operator (GWA (North) Pty Ltd (GWAN))
and the Commission will seek to agree a “remedial plan” to ensure that revenues
for the next five years are not excessive. Failure to agree would result in the
Commission making a price determination to ensure that the future revenues are
not excessive.
The Issues Paper invites comments on a threshold question for this Review:
what Railway services have been subject to sustainable competition during the
first ten years of operation? In addition, this Paper briefly outlines the scope
and principles that the Commission intends to apply in this Review and requests
any information, or evidence, that any party wishes to provide to the
Commission, for it to take into account in this Review.
The Commission is seeking submissions on the Issues Paper by Friday 19th
December 2014
.