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AER issues draft decision on Multinet Gas’ Access Arrangement

The Australian Energy Regulator (AER) has issued its Draft Decision on Multinet Gas’ Access Arrangement for the five year period commencing on 1 January 2018.

The Draft Decision outlines several key changes to Multinet Gas’ proposal, which was submitted to the AER on 21 December 2016. In particular, the AER has specified:

  • a reduction in the cost of capital of 5.75% compared to our proposal of 6.12% and
  • a 24% reduction in proposed capital works.

The Draft Decision results in an indicative reduction to Multinet Gas’ tariffs of 5.56% from 1 January 2018. This will mean a reduction of $9 to the average residential customer bill and $18 for small business.

Multinet Gas’ Network Operations General Manager, Mr Mark Beech said, “The AER’s Draft Decision supports gas as a low cost, low carbon energy source for our customers.”

“We look forward to working with the AER in the lead up to its Final Decision in order to promote the long term interests of gas customers and the general public.”

Multinet Gas has until 14 August to provide its response to the AER, with the AER’s Final Decision expected in November.

The Draft Decision has been published on the AER’s website, www.aer.com.au.

Multinet Draft Decision Media Release v0.1