Past review
13/10/2017
Aurizon Network’s approved 2010 access undertaking provided for the QCA to assess the prudency of Aurizon Network’s capital expenditure in the central Queensland coal network on an annual basis.
Once approved, the capital expenditure can be included in Aurizon Network’s regulatory asset base.
Capital expenditure claim 2015–16
On 13 October 2017 we released our decision to accept Aurizon Network’s 2015–16 capital expenditure claim (as amended by Aurizon Network on 5 June 2017 and 27 September 2017). This accepted capital expenditure, totalling approximately $887 million, would be included in Aurizon Network’s regulatory asset base for the central Queensland coal network.
We received two submissions on our consultants’ reports—from WIRP Users and Aurizon Network. AECOM provided a notice of advice in response to these submissions.
These documents are available below.
We conduct an annual assessment of the prudency of capital expenditure to determine whether it should be included in Aurizon Network’s regulatory asset base (RAB) for the Central Queensland coal network.
In assessing the prudency of capital expenditure, we focus on the:
- scope of works
- standard of works
- cost of works.
Refer to clause 3.3.1–3.3.4 of schedule A of the 2010 access undertaking for further detail on the assessment framework.
We engaged AECOM, Brimik, and RSM Australia to provide expert advice and recommendations on Aurizon Network’s 2015–16 capital expenditure claim.
On 4 September 2017, we received two submissions on the consultants’ reports, from WIRP Users, and Aurizon Network.
Regulatory process
31 October 2016—Aurizon Network submitted its 2015–16 capital expenditure claim of $892.6 million (inclusive of interest during construction), covering 87 projects.
5 June 2017—Aurizon Network requested to amend its 2015–16 capital expenditure claim.
3 August 2017—Stakeholders were invited to comment on the consultants’ reports that advised on Aurizon Network’s 2015–16 capital expenditure claim.
4 September 2017—The period closed for lodging submissions on our consultants’ reports.
26 September 2017—AECOM issued a notice of advice responding to points raised in submissions.
27 September—Aurizon Network requested to amend its 2015–16 capital expenditure claim.
13 October 2017—We released our decision to accept Aurizon Network’s 2015–16 capital expenditure claim (as amended by Aurizon Network).
Report and papers
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Title | Document | |
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13 October 2017 | Final report | QCA – Decision to approve 2015-16 capital expenditure claim | pdf, 2.07 Mb |
27 September 2017 | Submission | Aurizon Network – Letter of amendment 2015-16 capex claim | pdf, 3.41 Mb |
26 September 2017 | Consultant report | AECOM – Notice of advice | pdf, 158.14 Kb |
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Title | Document | |
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04 September 2017 | Submission | WIRP Users – Submission on QCA consultants – reports | pdf, 539.36 Kb |
04 September 2017 | Submission | Aurizon Network – Submission on QCA consultants – reports | pdf, 1.32 Mb |
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Title | Document | |
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03 August 2017 | Notice | QCA – Stakeholder notice 2015-16 capital expenditure claim | pdf, 348.92 Kb |
31 July 2017 | Consultant report | AECOM – Engineering assessment of Aurizon Network capital expenditure claim – Public | pdf, 4.88 Mb |
05 June 2017 | Submission | Aurizon Network – Letter of amendment 2015-16 capex claim | pdf, 2.18 Mb |
15 May 2017 | Consultant report | RSM Australia – Cost review of Aurizon Network 2015-16 capital expenditure claim | pdf, 719.61 Kb |
Capital expenditure claim 2014–15
On 11 May 2016 we approved Aurizon Network’s capital expenditure claim, of $614.3 million, for 2014–15.
We sought CMT Solutions’ advice in assessing the claim.
CMT Solutions’ reports and the letter advising Aurizon Network of our final decision can be downloaded below.
On 11 May 2016 we approved Aurizon Network’s capital expenditure claim, of $614.3 million, for 2014–15.
We sought CMT Solutions’ advice in assessing the claim. Stakeholders were invited to make submissions on CMT Solutions’ report and we took stakeholder submissions into account in making our final decision on Aurizon Network’s claim.
CMT Solutions’ reports and the letter advising Aurizon Network of our final decision can be downloaded below.
Report and papers
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Title | Document | |
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16 May 2016 | Consultant report | CMT Solutions’ Response to Anglo American’s Submission | pdf, 392.33 Kb |
05 February 2016 | Consultant report | Appendix 5 to CMT’s report | pdf, 8.47 Mb |
05 February 2016 | Consultant report | Appendix 3 to CMT’s Final Report | pdf, 1.42 Mb |
05 February 2016 | Consultant report | CMT Solutions’ Final Report | pdf, 1.86 Mb |
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Title | Document | |
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16 May 2016 | Final report | Letter to Aurizon on Approval of Revised Claim | pdf, 392.62 Kb |
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Title | Document | |
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29 February 2016 | Submission | Anglo American Submission | pdf, 229.82 Kb |
Capital expenditure claim 2013–14
On 21 May 2015, we approved Aurizon Network’s capital expenditure claim of $326.7 million. We assessed the claim in accordance with schedule A of the 2010 access undertaking.
CMT Solutions and RSM Bird Cameron assisted us by providing their expert engineering and cost advice.
Our consultants’ reports and the final decision letter can be downloaded below.
Report and papers
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Title | Document | |
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27 May 2015 | Final report | Letter | pdf, 522.57 Kb |
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Title | Document | |
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28 May 2015 | Consultant report | CMT Solutions | pdf, 12.37 Mb |
28 May 2015 | Consultant report | RSM Bird Cameron | pdf, 899.18 Kb |
Capital expenditure claim 2012–13
On 21 May 2014, we released a final decision letter to approve $226.4 million in capital expenditure claimed by Aurizon Network, in respect of the central Queensland coal region. The claim was assessed in accordance with schedule A of the 2010 access undertaking.
To assist us in our assessment of the claim, we engaged CMT Solutions and Jacobs SKM to undertake engineering assessments, and RSM Bird Cameron to conduct a cost review.
Report and papers
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Title | Document | |
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26 May 2014 | Final report | Final decision – letter to Aurizon Network | pdf, 674.89 Kb |
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Title | Document | |
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26 May 2014 | Consultant report | CMT – report | pdf, 16.96 Mb |
26 May 2014 | Consultant report | Jacobs SKM – report | pdf, 9.58 Mb |
26 May 2014 | Consultant report | RSM Bird Cameron – report | pdf, 2.59 Mb |
Capital expenditure claim 2011–12
On 10 October 2013, we released a final decision letter to approve the $1.3 billion in capital expenditure claimed by Aurizon Network.
On 22 August 2013, we made a draft decision to approve $1.3 billion in capital expenditure, claimed by Aurizon Network in respect of the central Queensland coal region, for 2011–12. We assessed the claim in accordance with schedule A of the 2010 access undertaking.
We published our draft decision along with our consultants’ reports, and sought submissions by 20 September 2013.
No written submissions were received.
On 10 October 2013, we approved, for inclusion in Aurizon Network’s RAB, $1.3 billion in capital expenditure claimed for 2011–12.
Report and papers
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Title | Document | |
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14 October 2013 | Final report | Letter to Aurizon Network | pdf, 527.19 Kb |
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Title | Document | |
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16 August 2013 | Draft report | Aurizon Network’s 2011-12 Capital Expenditure | pdf, 261.29 Kb |
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Title | Document | |
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16 August 2013 | Consultant report | SKM – Aurizon Network Pty Ltd Capital Expenditure 2011-12 Engineering Assessment July 2013 | pdf, 15.23 Mb |
15 July 2013 | Consultant report | RSM Bird Cameron – Report of Factual Findings | pdf, 321.58 Kb |
15 June 2013 | Consultant report | RSM Bird Cameron – Cost Review of Aurizon Networks Capital Expenditure Claim 2011/12 | pdf, 1.28 Mb |
Capital expenditure claim 2010–11
On 27 June 2012, we approved, for inclusion in Aurizon Network’s RAB, $119.5 million in capital expenditure claimed for 2010–11.
Report and papers
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Title | Document | |
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15 June 2012 | Consultant report | Evans and Peck – QR Network’s 2010-11 Review of QR Network 2010-11 Capital Expenditure | pdf, 2.99 Mb |
15 June 2012 | Other documents | QCA – Summary table of QR Network’s 2010-11 Capital Expenditure | pdf, 6.39 Kb |