Additional Input Methodologies for Electricity and Gas DPPs

The Commission is developing input methodologies for electricity distribution services and gas pipeline services that describe the way that starting prices could be adjusted when default price-quality paths are reset.

In particular, we are required to:

(1)           specify the valuation of assets, allocation of costs and treatment of taxation as applicable to default price-quality paths, and

(2)           consult on, and stipulate, a stand-alone starting price adjustment input methodology for default price-quality paths.

These input methodologies are in addition to the input methodologies for electricity distribution services and gas pipeline services we determined in December 2010. For this reason we are calling them ‘additional input methodologies.’

In line with directions from the High Court, and notwithstanding s 52U of the Commerce Act 1986, we are required to determine additional input methodologies by 30 September 2012 (unless the Court grants a further extension).