Projects

After lengthy engagement with the regulator regarding methodology we calculated an appropriate tariff path that would meet both the client's needs and the regulator's requirements. This required the calculation of a levelised cost tariff that increases by inflation every year, and the calculation of a Rate-of-Return tariff for the same facility and the demonstration of parity between these two different tariff profiles. We also documented the financial calculations (model) and drafted the technical (and primary) sections of the tariff application document. Following the submission of the application, we remain active on the project to assist Sunrise with the finalisation of ...

Meridian was appointed to prepare the Sunrise tariff application. However, given that Sunrise required a levelised cost tariff (an inflation indexed tariff) we first had to engage NERSA around the methodology that Sunrise wished to use for the application. After extensive engagements and exchanges of letters on the technicalities of our proposed approach (and demonstrating its NPV equivalence to the NERSA Rate of Return approach) we were able to reach a point where the tariff application could proceed on a levelised cost basis. ...

Grové Steyn was appointed as an expert witness by the complainants. Meridian prepared a number of expert reports, filed as part of the litigation, that analyse the NMBM industrial electricity tariffs and the appropriate method for tariff regulation by NERSA. During the process Meridian cooperated closely with the legal team in the matter. ...

Meridian's role was to prepare comments on the proposed changes as specialist regulatory economists. We collaborated with the client's legal advisors in compiling a comprehensive response to the proposed changes to the Gas Act. ...

The Competition Commission was preparing its case documents for its referral of Sasol Chemicals Industries (SCI) to the Competition Tribunal for alleged excessive pricing. The Commission needed assistance with responding to the technical financial aspects of SCI expert witness statements, especially as they relate to the estimation of the appropriate asset valuation and cost base of the SCI products. ...

Meridian was appointed to produce a report on the impact of economic regulation on the management and performance of state-owned enterprises (SOEs). The report set out to identify the key challenges related to the economic regulation of SOEs in the energy, transport and communications sectors. It outlined a framework for understanding the impact of regulation and the related governance framework on the performance of SOEs and to make recommendations for how the impact of economic regulation on SOE performance can be improved. ...

Grové was appointed as an sector expert to the EB Steam team. He advised on a wide range of power sector economic and regulatory issues that arose during the arbitration and was also responsible for drafting expert reports that would be filed as part of the process. ...

Grové was appointed by the Transnet CEO, Maria Ramos, to assist Transnet with engaging with the newly established regulators, guide the Divisional and Corporate Executive Teams on the regulatory engagement processes, prepare and manage tariff applications, and assist with the development of internal capacity to engage with the regulatory process. ...

In the February 2006 Budget, Minister of Finance Trevor Manuel announced the appointment of a task team to investigate whether windfall profits were being generated by the liquid fuels industry, in particular the synthetic fuels industry, and whether a windfall tax should be imposed if such profits existed. Grové Steyn was subsequently appointed as a member of the Task Team by the Minister of Finance. The final report was delivered to the Minister of Finance in February 2007. ...

Grové was approached by the NER to put together a team of advisors to assist the NER to undertake the review of the Eskom tariff application. The role included project managing the entire review process, including the meetings with all stakeholders, and preparing the for the presentation of the final recommendations to the NER Board. ...