Caution needed to avoid electricity customer impacts
Unsustainable funding cuts to electricity networks proposed by the Australian Energy Regulator threaten to undermine reliability, safety and efficiency outcomes for customers.
Energy Networks Association Chief Executive Officer, John Bradley, said the network sector recognized the price pressures on electricity customers and the need to deliver cost savings and efficient performance. Network businesses proposed real capital expenditure reductions of over 30% compared to the last regulatory period. The AER has largely accepted TasNetworks Tasmanian transmission proposal.
Mr Bradley said the AER has proposed real reductions to current operating expenditures totaling $2.7 billion or 35% over the next five years for electricity transmission and distribution network businesses in NSW and ACT