EUAA Submission: Draft Opportunity Cost Methodologies
Emily Wood | October 13, 2023
‘…The EUAA generally supports claims for lost revenue by energy market participants during periods of market intervention where the claimant can demonstrate that:
- There is a genuine limitation to the claimants output capability or capacity due to a proven technical or commercial limitation that results in reduced revenue through the market intervention period, i.e. the claimant was unable to trade using its preferred strategy of maximising revenue;
- That there is evidence of the quantity and price components of the claim that demonstrates the claimant is avoiding making excessive profits during market interventions.
The EUAA has examined all of the publicly available documentation associated with the AEMC’s Consultation Paper and agrees with the AEMC’s current views on the opportunity cost claims during the administered price period in June 2022 from both Snowy Hydro and Delta Electricity….’
Please download attachment to read full submission.