Repex Modelling and Benchmarking

CutlerMerz recently provided one of our power network clients with recommendations to improve their performance and forecasting capability for the upcoming regulatory submission.

Our engagement involved modelling to forecast the level of replacement capital expenditure (repex) required in the coming revenue control period, how this compared to the repex forecasts of other networks in the NEM, and how the Australian Energy Regulatory (AER) would likely assess their current repex forecast.

We also undertook a more comprehensive benchmarking exercise of their capex and opex performance against other network service providers in the industry, with comparisons made to the results in the AER’s Annual Benchmarking Report.