Authority's Regulatory Fee
The Queensland Competition Authority Regulation 2007 provides for the Authority to charge fees for the provision of regulatory services. In the past, the Authority’s fee charged to DBCT Management reflected a partial recovery of the Authority’s costs in regulating DBCT. In September 2010, the Authority decided to recover the full cost of providing regulatory services to most regulated entities including DBCT Management.
On 10 June 2011, DBCT Management submitted a draft amending access undertaking (DAAU) to amend the 2010 undertaking to enable the full pass through of the Authority’s regulatory fee to access holders.
On 10 June 2011, the Authority published the DAAU and requested stakeholders to lodge submissions by 8 July 2011. Stakeholders were also advised that the Authority may proceed directly to a final decision if no submissions were received. The Authority did not receive any submissions from stakeholders.
The Authority has reviewed the DAAU and accepts that it provides for DBCT Management to fully pass through the Authority’s regulatory fee to terminal access holders through an amendment to its ARR. Given this, and the lack of stakeholder submissions, on 21 July 2011 the Authority made a final decision to approve DBCT Management’s DAAU.
On 11 August 2011, DBCT Management formally requested that the Authority approve an amendment to the 2010-11 and 2011-12 annual revenue requirements (ARRs) for DBCT to take account of the increase in the Authority’s regulatory fee, effective from 1 July 2010.
The Authority has considered DBCT Management's submission and has concluded that DBCT Management appropriately adjusted the ARRs and tariffs to reflect the change in the QCA fees.
On this basis, the Authority accepts the proposed ARR adjustment, namely:
- for 2010-11 through a one-off payment of $1,000,416 from users; and
- for 2011-12 through a combination of:
- a one-off payment of $179,022 from users, for the period 1 July to 31 August 2011; and
- an increase in the regulated revenues (from $246,117,230 to $247,191,363) and tariff (from $2.9016/tonne to $2.9143/tonne), to take effect from 1 September 2011.
The Authority's decision is available below. If you have any questions on this matter, please contact Ravi Prasad on 07 3222 0533.