Electricity standing contract price path inquiry 2004
- Project Released: 25 Jun 2004
- Project Closes: 23 Dec 2004
- Contact: Nathan Petrus
Overview
The Commission conducted an Inquiry into the retailer component of regulated
electricity prices to apply from 1 January 2005 to 31 December 2007. The
retailer component, charged by AGL SA, represents just over half of a customer’s
electricity bill.
Status
Current status is Final
- Initiate
- Submissions
- Further Info
- Draft
- Submissions
- Draft
- Submissions
- Final
- Further Info
Final
In December 2004 the Commission issued the final Price Determination, fixing
the electricity standing contract prices which may be charged to small
electricity customers by AGL SA. The Price Determination set a price path for
all standing contract prices, having effect for a period of three years from 1
January 2005.
Further Information
In January 2005 AGL SA sought a review of the final Price Determination under
section 31 of the Essential Services Commission Act 2002 in respect
of:
- those parts of the Price Determination relating to wholesale energy costs,
retail operating costs and retail margin (which AGL SA felt were too low or
otherwise inadequate),
- the failure of the Commission to follow statutory requirements and
objectives; and
- those parts of the Price Determination that were beyond power.
The Commission had a six week period within which to finalise the Review. In
accordance with the requirements of the Act, the Commission provided the
Minister (the Treasurer in this instance) with a copy of the application and
invited him to join as a party to the review and make a submission on those
matters raised by AGL SA. The Treasurer's submission was received in February
2005.
The Commission gave extensive consideration to the matters raised by AGL in
its Review Application and in the submission from the Treasurer, Hon K Foley.
The Commission decided, pursuant to section 31(8) of the ESC Act, to confirm the
Standing Contract Price Determination of December 2004.