Section 86 of the Electricity Reform Act provides that the Minister may declare an area to be an electricity supply distribution system extension area. The owner of each parcel of land within such an area is liable to pay to the relevant electricity entity a financial contribution towards the cost of extension of the electricity supply in the area.

The reasonable contribution payable by each land owner is the amount approved by the Commission as the owner’s reasonable share of the capital contribution required, with the capital contribution being determined in accordance with the capital contribution principles set out in the Network Access Code.

The Commission approved the use of the schedule of financial contributions set out in the Power and Water Corporation’s Distribution System Extension Policy as complying with the provisions of section 86(7) of the Electricity Reform Act, subject to conditions as set out in the approval instrument below.