47DMaking non-contestable revenue determinations—the Act, s 38(10)(a)

47D Making non-contestable revenue determinations—the Act, s 38(10)(a)

47D Making non-contestable revenue determinations—the Act, s 38(10)(a)

(1) This clause applies to the making of a non-contestable revenue determination.

(2) Before determining the amount for the component under the Act, section 38(2)(a), the regulator must calculate the depreciation using the depreciation schedules prepared in accordance with the National Electricity Rules, Chapter 6A.

(3) The regulator must modify the depreciation schedules for the purposes of subclause (2) if satisfied that it is reasonably necessary to ensure—

(a) the revenue determination is consistent with the objects of the Act specified in the Act, section 3(1)(a)–(c), and

(b) the network operator is capable of efficiently obtaining finance to carry out the infrastructure project.

(4) When determining the amount for the component under the Act, section 38(2)(b), the regulator must apply the current rate of return instrument made by the AER under the National Electricity (NSW) Law, section 18I, as in force at the time of the revenue determination.

(5) The regulator must take into account contractual arrangements entered into by a network operator as required under a relevant authorisation for a previous contestable revenue determination if—

(a) the regulator is establishing the value of the regulatory asset base for the purposes of a non-contestable revenue determination, and

(b) a contestable revenue determination was previously made in relation to all or part of the same network infrastructure.

cl 47D: Ins 2022 (686), Sch 1[3].