Tariff Code

The Electricity Act (1998) stipulates that the joint grid administrators must submit proposals to the Office of Energy Regulation (DTe) detailing a tariff structure and a set of technical conditions (regulations) for grid administration. The tariff structure has been laid down in the Tariff Code. DTe has evaluated and adopted the Tariff Code proposal submitted by the grid administrators.

Contents of the Tariff Code

The Tariff Code (link to DTe website) describes the tariff structure (i.e. tariff components and calculation method) of the regulated tariffs that grid administrators can charge their customers.

Context

The establishment of the Tariff Code is stipulated in the Electricity Act.

Explanation

The Tariff Code explains how the tariffs for the following services are calculated:

• connection service (connection to a grid); 
• transmission service (input, output and throughput of electricity);
• system service (performance of system services). 

Each grid administrator must submit an annual proposal for the maximum tariffs that it may charge for the above‑mentioned services. This proposal must take account of the prescribed tariff structures. The Director of the Office of Energy Regulation determines the annual tariffs.