ETSA Utilities Finance Pty Ltd.

Overview Key strengths Key risks Monopoly regulated electricity network business operates under an established and transparent regulatory framework. Inability to operate within total regulated expenditure allowance. Regulatory parameters provide cash flow stability and visibility over the regulatory period. Elevated capital costs to maintain and enhance the distribution network. No exposure to volume risk due to regulatory cap on inflation-adjusted revenue. Growth appetite in unregulated segment; or revisions in dividend policy. The company is regulated by the Australia Energy Regulator (AER). It is subject to five-year regulatory periods and the current one will end on June 30, 2025. The regulatory framework ensures recovery of efficient costs (including debt costs), return on capital, and return of capital. The allowed revenue does not

...ETSA Utilities Finance Pty Ltd. (ETSA) will continue to benefit from a predictable and transparent regulatory regime. The company is regulated by the Australia Energy Regulator (AER). It is subject to five-year regulatory periods and the current one will end on June 30, 2025. The regulatory framework ensures recovery of efficient costs (including debt costs), return on capital, and return of capital. The allowed revenue does not carry volume risk. The framework also allows for the adjustment of revenue annually for inflation, changes in the 10-year trailing debt cost, performance...

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