Australian Capital Territory

Utilities (Annual Licence Fees Determination) Notice 2011 (No 2)*

Notifiable Instrument NI2011-624

made under the

Utilities Act 2000, s 52 (Public notice of licence decisions) (see also s 45 (Determination of fee) and s 53 (Public access to licences etc))

1	Name of instrument
This instrument is the Utilities (Annual Licence Fees Determination) Notice 2011 (No 2).
2	Commencement
This instrument commences on the day after it is notified.
3	Determination of licence fees
The Independent Competition and Regulatory Commission (the Commission) gives notice that the Commission has determined the annual licence fees payable by licensed utilities under the Utilities Act 2000 for the year ending on 30 June 2012, as set out in the attached schedule (tables 1 to 4). 

Licence fees are payable for 2011-12 by East Australian Pipeline Limited (licensed to supply gas transmission services) and ACTEW Corporation Limited (licensed to supply water and waste water services).

Unless otherwise agreed in writing with the Commission, determined fees, shown in table 1, are payable by the licensee to the Commission in three (3) equal instalments to be paid by 30 November 2011, 31 January 2012 and 31 March 2012. 

Table 2 in the schedule sets out the breakdown of costs incurred by the three agencies, namely the Commission, the ACT Civil and Administrative Tribunal, and Director General of the Energy and Sustainable Development Directorate (ESDD) on behalf of the Territory. 

Licence fees payable are based on estimated costs for 2011-12 for the three agencies but also taking account of any rebates or surcharges payable for differences in costs between those estimated for 2010-11 and the actual costs incurred by the agencies for that year. Those details are shown in table 3.

Table 4 details the scope and nature of services provided by the two utilities.

In determining the licence fee payable by each utility, the Commission had regard to:
•	What it considered the utilities should make as a reasonable contribution towards the costs incurred or expected to be incurred by the three agencies; 
•	the amount of the fee and the way it is worked out; and
•	the Commission’s reasons for the amount of the fees and any instalments to be paid.
4	Public access to determination of annual licence fees 
Copies of the Commission’s determination of annual licence fees are available for inspection by members of the public:
•	on the Commission’s webpage (www.icrc.act.gov.au);
•	at the Commission’s offices (located at Level 2, 12 Moore Street, Canberra City, ACT) during ordinary office hours; and
•	on the ACT Legislation Register (www.legislation.act.gov.au).

A person may inspect a determination without charge, and may make a copy of all or any part of the document. No charge will apply.

Malcolm Gray
Senior Commissioner
Independent Competition and Regulatory Commission
14 October 2011

This is page 1 of the Schedule to the Utilities (Annual Licence Fees Determination) Notice 2011 (No 2), NI2011-624

SCHEDULE

Table 1:	Licence fees payable for gas transmission, and water and wastewater utility services, 2011-121
Licensee	Licence fees payable ($)	
East Australian Pipeline Limited (gas transmission)	                   64,777 	
ACTEW Corporation Ltd (water and waste water services)	                 919,807 	
Total	                 984,584 	
Note:
1 licence fees determined for 2011-12 are based on estimated costs incurred during 2011-12 by the three agencies (the Commission, the ACT Civil and Administrative Tribunal, and the Director General of the Energy and Sustainable Development Directorate (ESDD), on behalf of the Territory) but also take account of any rebates or surcharges payable for differences in costs between those estimated for 2010-11 and the actual costs incurred by the agencies for that year.

Table 2:	Breakdown of licence fees as cost components incurred by the three ACT agencies for gas transmission and water and wastewater utility services, 2011-12
Licensee	Utility service component provided	ESDD1 
($)	ACAT2
($)	ICRC3
($)	Totals 
($)	
East Australian Pipeline Limited 	Gas transmission	63,837 	0 	940 	64,777 	
ACTEW Corporation Ltd	Water collection and treatment	71,622 	0 	55,099 	126,721 	
 	Water network	71,622 	1,500 	55,099 	128,221 	
 	Water distribution	71,622 	0 	55,099 	126,721 	
 	Water connection service	71,622 	0 	55,099 	126,721 	
 	Water supply	0 	44,781 	55,099 	99,880 	
 	Sewerage network	71,622 	1,500 	55,099 	128,221 	
 	Sewerage connection service	71,622 	0 	55,099 	126,721 	
 	Sewerage service	0 	1,500 	55,099 	56,599 	
Sub-total ACTEW Corporation		429,730 	49,281 	440,796 	919,807 	
Total	 	493,567 	49,281 	441,736 	984,584 	
Notes:
1 Environment and Sustainable Development Directorate.
2 ACT Civil and Administrative Tribunal.
3 Independent Competition and Regulatory Commission.

This is page 2 of the Schedule to the Utilities (Annual Licence Fees Determination) Notice 2011 (No 2), NI2011-624

Table 3:	Licence fees determined for 2011-12 showing aggregated rebates/surcharges payable from 2010-11 
Licensee	Licence fees determined for 2010-11 based on estimated costs 
($)	Licence fees based on actual costs for 2010-11 ($)	(Rebates) or surcharge due ($)	Licence fees based on estimated costs for 2011-12 ($)	Licence fees determined for 2011-12 ($)	
East Australian Pipeline Limited	52,481 	52,621 	140 	64,637 	64,777 	
ACTEW Corporation Ltd 	706,954 	813,324 	106,371 	813,436 	919,807 	
Total	759,435 	865,945 	106,511 	878,073 	984,584 	

This is page 4 of the Schedule to the Utilities (Annual |Licence Fees Determination) Notice 2011  (No 2), NI2011-624

Table 4:	Scope and nature of services provided by licensees (gas transmission, and water and wastewater)
Section of the Act/
Utility service	Scope and nature of services	
9(a)
Gas transmission	Transmission of gas through a gas transmission network. 
	
11(a)
Water collection and
treatment	Collection or treatment of water, or both, for distribution through a water network. 	
11(b)
Water network	Making a water network available for the provision of water connection services.	
11(c)
Water distribution	Distribution of water through a water network.	
11(d)
Water connection
Services	Connection of premises to a water network; or variation of the capacity of the connection between premises and a water network.	
11(e)
Water supply	Supply of water from a water network to premises for consumption. 	
13(a)
Sewerage network	Making a sewerage network available for the provision of sewerage connection services.	
13(b)
Sewerage connection
Services	Connection of premises to a sewerage network; or variation of the capacity of the connection between premises and a sewerage network.	
13 (c)
Sewerage service	Conveyance, collection, treatment and disposal of sewage by a person from the premises of another person.