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.
Project Overview
Persuading the Energy Regulator to allow alternate tariff calculation methodologies
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