Pipeline determination premature: APA

With the majority of gas through the Moomba-to-Sydney pipeline already contracted for the next few years the Australian Pipeline Trust (APA) has labelled yesterday's Final Determination on arrangements for the line from the Australian Consumer and Competition Commission (ACCC) as premature.
Pipeline determination premature: APA Pipeline determination premature: APA Pipeline determination premature: APA Pipeline determination premature: APA Pipeline determination premature: APA

Last month the Federal Resources Minister Ian Macfarlane revoked the ACCC's capacity to set tariffs on the main transmission pipeline bringing gas from the Cooper Basin to Sydney.

However, it retained the rights as regulator for the laterals bringing gas to the regional centers on the transmission pipeline route and the sector from Moomba to Marsden.

ACCC chief Graeme Samuel said that the APA (through EAPL) revised access arrangement submitted in October did not fully comply with the amendments required and therefore the ACCC drafted its own access arrangement as required under the gas code.

The Australian Pipeline Trust is now considering its options to have the decision reviewed or withdrawn.

With the majority of gas hauled through pipeline already contracted the Final Determination will not have any material impact on APA's revenues for several years.

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