PWC is a vertically integrated government owned corporation with generation, network and retail business units operating as separate ring-fenced businesses. The commercial relationship and transactions between each of PWC’s business units is subject to oversight and regulation by the Commission. In addition to PWC Retail, the Commission has licensed two electricity retailers, QEnergy Limited and ERM Power Retail Pty Ltd. The Commission’s regulatory role in the water supply and sewerage industry is more limited than its role in the electricity supply industry but includes licensing functions, monitoring and enforcing compliance with relevant legislation and licence conditions and advising the Minister as required. Electricity Prices Retail electricity prices paid by customers are made up of a number of components: generation (or wholesale) component which is the charge for generating the electricity; network component is the charge for transporting electricity across the network from the generator to the customer; system control charges which is the charge for overall management of the system; and retail margin which is the retailer’s charge for packaging the other components and providing them to the customer and undertaking billing and account management. The Commission’s role in terms of price regulation is limited to prices charged by Power and Water Corporation Networks for provision of electricity network services and charges imposed by the System Controller relating to the operations of system control. The Commission’s role in regulated retail tariffs is limited to providing advice to the Regulatory Minister if advice is sought and monitoring and enforcing compliance with pricing orders, made by the Minister. Network Price Regulation The NT Access Code (see ) requires the Commission, in consultation with interested parties, to review the network price regulation methodology every five years with a view to modifying the methodology as appropriate. The next regulatory control period commences 1 July 2014. The Commission released a consultation paper in June 2012, setting out the Commission’s preliminary position on the Framework and Approach for the 2014 Network Price Determination (see ). The Commission conducts its determination and approval processes in an open, transparent and competitively neutral manner, including by consulting with network users, end-use customers, members of the public and all licensed electricity entities that may be affected, directly or indirectly The Commission’s preliminary position is to adopt where possible, the approach used by the Australian Energy Regulator and the application of relevant part of the National Electricity Rules in relation to electricity network businesses that are consistent with the NT specific legislation. Working towards alignment with national arrangements is considered to represent generally accepted regulatory practice and therefore in the long-term interest of Territory electricity consumers.
PWC is a vertically integrated government owned corporation with generation, network and retail business units operating as separate ring-fenced businesses. The commercial relationship and transactions between each of PWC’s business units is subject to oversight and regulation by the Commission. In addition to PWC Retail, the Commission has licensed two electricity retailers, QEnergy Limited and ERM Power Retail Pty Ltd. The Commission’s regulatory role in the water supply and sewerage industry is more limited than its role in the electricity supply industry but includes licensing functions, monitoring and enforcing compliance with relevant legislation and licence conditions and advising the Minister as required. Electricity Prices Retail electricity prices paid by customers are made up of a number of components: generation (or wholesale) component which is the charge for generating the electricity; network component is the charge for transporting electricity across the network from the generator to the customer; system control charges which is the charge for overall management of the system; and retail margin which is the retailer’s charge for packaging the other components and providing them to the customer and undertaking billing and account management. The Commission’s role in terms of price regulation is limited to prices charged by Power and Water Corporation Networks for provision of electricity network services and charges imposed by the System Controller relating to the operations of system control. The Commission’s role in regulated retail tariffs is limited to providing advice to the Regulatory Minister if advice is sought and monitoring and enforcing compliance with pricing orders, made by the Minister. Network Price Regulation The NT Access Code (see ) requires the Commission, in consultation with interested parties, to review the network price regulation methodology every five years with a view to modifying the methodology as appropriate. The next regulatory control period commences 1 July 2014. The Commission released a consultation paper in June 2012, setting out the Commission’s preliminary position on the Framework and Approach for the 2014 Network Price Determination (see ). The Commission conducts its determination and approval processes in an open, transparent and competitively neutral manner, including by consulting with network users, end-use customers, members of the public and all licensed electricity entities that may be affected, directly or indirectly The Commission’s preliminary position is to adopt where possible, the approach used by the Australian Energy Regulator and the application of relevant part of the National Electricity Rules in relation to electricity network businesses that are consistent with the NT specific legislation. Working towards alignment with national arrangements is considered to represent generally accepted regulatory practice and therefore in the long-term interest of Territory electricity consumers.