ACCC rules in favour of nbn Co’s 2014-15 revenue controls

Issues final determination on nbn Co’s revenue controls

The Australian Competition and Consumer Commission (ACCC) has issued a final determination on nbn Co’s revenue controls for 2014-15, determining that its prices did not exceed maximum regulated prices during the 2014-15 financial year.

The final determination follows the ACCC’s draft determination that was released in March, which proposed to accept nbn Co’s proposal.

As part of the Schedule 1E.1.2 of the Special Access Undertaking (SAU) - a key component of the regulatory framework for the nbn - the ACCC needs to publish an annual Long Term Revenue Constraint Methodology (LTRCM) determination in respect of the Annual Building Block Revenue Requirement (ABBRR), the Regulatory Asset Base (RAB) and the Initial Cost Recovery Account (ICRA) for the initial regulatory period.

In making its determination, the ACCC is required to assess whether nbn Co complies with the relevant criteria, including prudency criteria, set out in the SAU.

The regulatory information submitted by nbn Co includes information about its compliance with the price controls set out in the SAU, including forecasts on its capital expenditure, operational expenditure, and asset disposals models.

ACCC commissioner, Cristina Cifuentes, said the purpose of the revenue controls is to ensure nbn Co has the opportunity to recover its long-term costs over the duration of the SAU and those costs are incurred in a prudent and efficient manner.

“The ACCC is satisfied that the values proposed by nbn Co for 2014-15 for determining allowable revenues for 2014-15 are consistent with the revenue control provisions in the SAU,” Cifuentes said.

The ACCC has also finalised an amendment to the 2013-14 determination to correct a minor error in nbn Co’s submission for that year.

nbn Co is expected to submit its LTRCM proposal on October 30.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags NBNnbn coTelecommunicationsacccSAU

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Hafizah Osman
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?