Entries by Site Admin

Regulatory Reform of Water Sector Victoria, Australia

We advised on how regional public water utilities the State of Victoria, Australia, could be regulated by the Essential Services Commission. We advised on how regional public water utilities the State of Victoria, Australia, could be regulated by the Essential Services Commission. The Victoria Department of Natural Resources and the Environment was concerned that regional water utilities posed risks, both in terms of water quality, and future budgetary demands.

North Luzon – South Luzon Expressway Connector, Philippines

Castalia helped run a “Swiss challenge” competitive procurement process for a new highway in Manila. The Philippines government had received an unsolicited proposal to build an 8km highway in Manila and was required by law to run a competitive procurement process (“Swiss challenge”) to ensure the best-value bid was chosen.

Pipeline Regulation to Support a Liquid Wholesale Gas Market

Castalia found that the AEMC’s market access regime was not the right tool to create an efficient gas market on Australia’s East Coast, and that additional regulatory powers were needed. A spike in domestic gas prices as a result of increased LNG exports led to the realization that reforms where needed to create a more liquid wholesale gas market. It was not clear that AEMC’s existing powers were adequate for the task.

Analysis of Disruptive Technologies in Energy Distribution, New Zealand

Castalia advised Vector on how disruptive technologies, including battery storage, distributed generation, and smart-grids, would change the optimal configuration of electricity distribution grids in the future, assisting Vector’s investment planning. Vector was worried that disruptive technologies could strand the investments it planned to make in the distribution grid.

Review of the Orion Networks Application for a Customized Price-Quality Path, New Zealand

Castalia helped Vector, New Zealand’s largest electricity distribution utility, ensure that the regulatory regime made suitable provision for recovery of rebuilding costs following an earthquake, through regulatory advice to the Vector and a submission to the Commerce Commission. A series of earthquakes in Christchurch had damaged much of the electricity distribution system. The local utility requested a customized price control path to enable it to recover rebuilding costs. Vector also operates in earthquake-risk areas and wanted to be sure that precedents created after the Christchurch earthquake would be suitable if it or other distribution companies were hit by a serious earthquake.