The Authority has published a summary assessment of distribution pricing. This summary provides an overview of all 29 distributors’ 2019 pricing methodologies and their efforts to reform pricing.

Distributors urgently need to improve the efficiency of their distribution prices because technology is rapidly changing how electricity is produced and consumed. These changes affect how distribution networks are used, and how distribution services should be priced. Cost-reflective pricing is for the long-term benefit of consumers, by ensuring that distributors make efficient investments in their networks and consumers make efficient network use decisions and investments in solar power, batteries, and electric vehicles.

The aim of the assessment is to highlight good practice, identify weaknesses and gaps, and to suggest opportunities for improvement. The Authority reviews distributors’ assessments of current circumstance; the efficiency of price structures; the strategies and implementation of distribution pricing reform; and the management of consumer impacts arising from changes to pricing.

The Authority’s assessment complements industry-led efforts to promote more efficient distribution pricing. Authority assessments will be repeated annually.