This Information Paper provides an outline of IPART’s review of the inflation factor in industry price determinations and the reasons why it intends to adopt a ‘through-the-year’ method to measure general price inflation for future industry price
IPART is proposing to revise the Network Operator's Reporting Manual prepared under the Water Industry Competition Act 2006. Changes in reporting requirements since the last revision have been captured in the draft manual.
In its pricing determinations, IPART uses a real rate of return to determine the cost of capital allowance of its building blocks model. This cost of capital allowance forms a substantial part of the annual revenue requirement of utilities.
In its pricing determinations, IPART uses a real rate of return to determine the cost of capital allowance of its building blocks model. This cost of capital allowance forms a substantial part of the annual revenue requirement of utilities.