Regulatory and network economics

Synergies is expert in economic regulation and advises a diverse range of services to regulated utilities including electricity, water, port, rail and gas infrastructure service providers, reflecting our deep understanding of economic regulatory frameworks.

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Latest Case Studies

Case study

Arbitrating for more efficient shipping channel services at Newcastle Port

In 2018, the Australia’s competition regulator, the Australian Competition and Consumer Commission (ACCC) arbitrated a dispute between Glencore Coal Pty Ltd and Port of Newcastle (PNO) over the charges set by PNO for Glencore’s use of the channel assets at the Port of Newcastle.

Case study

Port supply chain costs at the Port of Melbourne

Synergies has extensive experience in examining the costs and incentive structures within various freight supply chains in Australia. We have a depth of knowledge of the economic and commercial structure of supply chains and the way that economic regulation can, and in practice does, impact these supply chains. Most recently we were engaged by Patrick Terminals to prepare an economic analysis of the container supply chain at the Port of Melbourne, to assist Patrick ...

Case study

Promoting efficient pricing for shipping channel services at Newcastle Port

Synergies, acting on behalf of Glencore prepared a series of submissions in 2018 and 2019 setting out the economic rationale for continued declaration of Newcastle Port’s shipping channel. Glencore, is a major user of shipping channel services at Newcastle as a major coal producer and exporter in the Hunter Valley. As such Glencore depends on access to the shipping channel based on reasonable terms and conditions.

Case study

WA rail access framework review

The WA Government is reviewing the WA rail access regime as established by the Railways (Access) Act 1998 and the Railways (Access) Code 2000. The regime has been in operations for over 15 years. The review aims to improve the existing regime to meet its objective, which is focused on encouraging the efficient use of, and investment in, railway facilities by facilitating a contestable market for rail operations. The current light-handed regime has several ...

Case study

Independent verifier of Transpower’s RCP3 expenditure proposal

Synergies (in partnership with GHD Advisory) was engaged by Transpower to provide an independent verification opinion on Transpower’s third regulatory control period (RCP3) base capital expenditure and operating expenditure forecasts relating to the 2020-25 period. This included testing the assumptions underpinning Transpower’s expenditure and demand forecasts prior to the submittal of its RCP3 proposal, as well as making recommendations to enhance the substantiation of specific components of its expenditure proposal.

Case study

ATCO’s proposed Network Innovation Scheme

Synergies was engaged by ATCO Gas (ATCO) to prepare an expert report establishing the economic case for an innovation incentive scheme – the Network Innovation Scheme – to be incorporated into its proposed access arrangement to the WA Economic Regulation Authority (ERA) for the 2020 to 2024 regulatory period. The proposed Network Innovation Scheme was intended to be in the long-term interests of WA gas consumers through encouraging ATCO Gas to seek out new and ...

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