Amendment to debt risk premium process 2020

The detailed process for estimating the debt risk premium is detailed in appendices to the Explanatory Statement for the Rate of Return Guidelines 2018.

Following consultation with stakeholders the ERA amended its method for estimating the debt risk premium to account for changes in product packages provided by its financial data provider.  The ERA will use this process for its future debt risk premium calculations.

Debt risk premium process

Following the receipt and consideration of submissions the ERA proceeded with its proposed updated debt risk premium process.

Date	Documents	File type
6-Oct-20	Updating DRP using R (version 3)	1.15 MB
6-Oct-20	Updating DRP using Excel (version 3)	1.08 MB
6-Oct-20	DRP Methods (version 3)	ZIP 654 kB

Public submissions

Date	Documents	File type
6-Oct-20	ATCO Australia submission on updated DRP process	1.31 MB
6-Oct-20	Dampier to Bunbury Pipeline submission on updated DRP process	249 kB

Related Information

In September 2020 the ERA sought submissions from stakeholders on the ERA’s proposed update to its method for estimating the debt risk premium to account for changes in product packages provided by its financial data provider.

Date	Documents	File type
7-Sep-20	Updating DRP using R (version 2)	1.1 MB
7-Sep-20	Updating DRP using Excel (version 2)	1.1 MB
7-Sep-20	DRP Methods (version 2)	ZIP 651 kB