WACC: A New World Order?

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The Australian Energy Regulator (AER) on Friday released its Draft rate of return guideline, August 2013 (AER Draft Guideline). The AER Draft Guideline sets out the methodologies, models and other material that the AER proposes to use in estimating the rate of return for regulated energy network businesses, in light of recent changes to the rate of return regulatory framework.

The approach adopted by the AER is likely to have a much broader impact than just on energy network regulation, with potential implications for the pricing of regulated and unregulated infrastructure such as communications networks, gas pipelines, water pipelines, airports, rail lines and ports.

Please see full alert below for more information.

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Topics:  Australia, Energy, Energy Policy

Published In: Energy & Utilities Updates, Finance & Banking Updates, Transportation Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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