Queensland Consolidated Regulations

ENERGY (RENEWABLE TRANSFORMATION AND JOBS) REGULATION 2024 - REG 38

38 Material change PTI direction

(1) This section applies if—

(a) the responsible Ministers have given a primary PTI allowance direction and a regulatory asset base allocation direction to Powerlink in relation to a priority transmission investment; and

(b) the responsible Ministers are satisfied that—

(i) there is a significant change in the circumstances on which the optimal infrastructure pathway is based and the change is relevant to the investment; or

(ii) there is a significant change in the circumstances on which the optimal development path is based and the change is relevant to the investment; or

(iii) the actual capital expenditure for the investment is higher than the directed forecast capital expenditure stated in the primary PTI allowance direction under section 34 (2) (a) and all or part of the additional capital expenditure was incurred efficiently; and

(c) Powerlink gives the responsible Ministers written notice of the day the priority transmission investment is completed.

(2) In deciding under subsection (1) (b) (iii) whether additional expenditure was incurred efficiently, the responsible Ministers must seek advice from a suitably qualified person.

(3) If requested by the suitably qualified person, Powerlink must give the person any documents or information the person reasonably requires to give the advice.

(4) During the period starting on the day Powerlink gives the responsible Ministers written notice under subsection (1) (c) and ending on the day that is 18 months later, the responsible Ministers may direct Powerlink under this section.

(5) A direction under this section is a
"material change PTI direction" .

(6) A material change PTI direction about a priority transmission investment—

(a) must state a description of the investment; and

(b) must state the date of completion of the investment; and

(c) may direct Powerlink to apply to the AER to do any of the following—

(i) to adjust the value of Powerlink’s regulatory asset base for 1 or more regulatory years in 1 or more of Powerlink’s regulatory control periods to include an amount of capital expenditure for the investment stated in the application;

(ii) to bring forward to an earlier regulatory year or defer to a later regulatory year in 1 or more of Powerlink’s regulatory control periods an amount of capital expenditure for the investment that was stated to be included in Powerlink’s regulatory asset base in an application by Powerlink under section 34 (2) ;

(iii) to apply to the AER to attribute a stated value or values of assets comprising the priority transmission investment for inclusion in the value of Powerlink’s regulatory asset base from the beginning of each regulatory year for which expenditure is included under subparagraphs (i) and (ii) .

(7) For subsection (6) (c) (i) —

(a) if subsection (1) (b) (iii) applies—the adjustment under subsection (6) (c) (i) must not include an amount of capital expenditure that exceeds the following—

(i) the amount of actual capital expenditure that the responsible Ministers are satisfied was incurred efficiently;

(ii) the amount by which the actual capital expenditure exceeds the directed forecast capital expenditure stated in the primary PTI allowance direction under section 34 (2) (a) ; or

(b) otherwise—the amount of capital expenditure cannot be greater than the amount of actual capital expenditure of the priority transmission investment.