Under the National Electricity Rules we must provide a proposed pricing methodology at the same time that we submit our revenue proposal to the Australian Energy Regulator (AER). The AER's revenue decision provides for the capital and operating expenditure required to maintain, operate and upgrade the transmission system in Tasmania.
The pricing methodology that has been developed relates to the prescribed transmission services and outlines the approach that has been taken. As stipulated, the methodology is consistent with the pricing principles for prescribed transmission services and complies with the guidelines set out in the rules. A full copy of the rules are available on Australian Energy Market Commission's website.
In April 2009, the AER released its final decision approving our revised pricing methodology subject to the inclusion of two amendments to the document, fulfilling our obligations under the Rules. The pricing methodology now applies for the regulatory control period from 1 July 2009 to 30 June 2014.
We are required to publish annual prices for each of the categories of prescribed transmission services.