The Transpower capital expenditure IM (capex IM) was set in January 2012 and has two major functions. These are to provide for the scrutiny of Transpower's proposed and actual investment, and to incentivise Transpower to deliver those investments effectively.
The CPP requirements topic considered cost and complexity improvements to the CPP requirements, and whether any further changes were required to improve how default price-quality paths and customised price-quality paths work together as the two components of the default/customised price-quality regime.
We fast tracked the review of certain CPP requirements to provide greater certainty and improvments for potential CPP applicants considering submitting a CPP application during, or immediately after, the wider IM review.
The input methodologies (IMs) were first determined in December 2010 for specified airport services, electricity distribution and transmission, and gas pipelines. We are required to review the IMs every 7 years. We completed our review in December 2016.