This paper sets out IPART’s recommended approach for councils to select a discount rate when using an NPV model to calculate development contributions.
This paper sets out IPART’s recommended approach for councils to select a discount rate when using a present value model to calculate development contributions.
In developing our approach to this review, one of the issues we will need to consider is an appropriate rate of return or return on capital for a number of energy-related businesses.
This Technical Paper outlines IPART’s recommended approach to calculating the discount rate and other aspects of modelling development contributions using an Net Present Value (NPV) methodology. It supersedes the paper published in March 2015.
This paper shows how the incentive to delay cost savings in a standard CPI-X pricing regime can be overcome by a carryover mechanism or by sharing the gains from such savings at the end of each year within a determination period.