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Gas distribution charges

Learn about the AusNet Gas Access Arrangement Review

A man working on gas pipes in a trench

Our gas network

We own and operate 1 of 3 Victorian gas networks. Our 12,800km gas distribution network covers an area of more than 60,000 square kilometres in central and western Victoria. We deliver gas to approximately 796,000 homes and businesses.

Gas is an important part of the energy mix in Victoria. Our customers use gas primarily for cooking, heating, hot water and/or a range of industrial processes.

Victorians rely on gas more than any other state. More than 4 out of 5 Victorian homes are connected to gas, and the gas networks currently provide more energy than electricity networks.

View Gas tariffs and charges.


The Gas Access Arrangement Review (GAAR)

The Australian Energy Regulator (AER) is responsible for regulating Australian gas distribution, which falls under a national framework.

Every 5 years, gas distributors across Victoria must submit a draft plan to the AER for the next 5-year regulatory period. This plan outlines the services we will offer customers, the costs to deliver those services, and the plan for how we will use money collected via the distribution charge on customers’ bills. This process is known as the Gas Access Arrangement Review (GAAR).

Our current regulatory period expires on 30 June 2028. Read our current Gas Access Arrangement (2024 - 2028):

We engaged extensively with customers and other stakeholders throughout prior to submission to understand their needs and expectations of our network, and ensure they are reflected in our plan. AER published its final decision on our access arrangements in June 2023.


Timeline

The high-level timeline below shows the steps we are taking to develop and deliver our proposal, from the initial consultation through to the final decision and approval by the AER.


  • 2021
    We conducted extensive engagement throughout 2021 to understand our customers and stakeholders' needs, so we could develop a fit-for-purpose draft plan.
  • 17 January 2022

    Publish draft plan for consultation

  • January to May 2022
    Engaging on draft plan
  • 1 July 2022
    Submit final draft plan to AER
  • August 2022
    Submissions on final draft plan to AER
  • September 2022
    After our draft plan was submitted the Victorian government released its Gas Substitution Roadmap. We were requested by the AER to submit an addendum to our proposal outlining where we thought changes were needed in response to the Roadmap. The addendum was submitted in September 2022.
  • November 2022
    Draft decision from AER
  • January 2023
    Submit revised plan to AER
  • April 2023
    Final decision from AER

Customer feedback shapes our plans

We talk to our customers regularly to learn what they want. This helps us make the best network plans. Here's how we do it:

  • regular round tables with customer representatives, retailers and big business
  • targeted stakeholder co-design workshops on specific issues
  • residential and small business customer workshops
  • deep dives on the major components of expenditure and the future of gas
  • comprehensive and statistically significant customer surveys.

Our draft plan and addendum were shaped by extensive customer research to prioritize customer needs and assess their impact on prices and bills.


Balancing low prices and long-term customer protection

We've stayed among Australia's most affordable gas distribution businesses. Our plans prioritize short-term bill affordability to alleviate cost-of-living concerns and aim to shield customers from sudden bill increases in the future. This approach aligns with customers' emphasis on total bills and their desire for long-term bill stability.

Our distribution network charges account for about 20% of residential customers' gas bills and roughly 5% for small business consumers. The remaining portion of customer bills includes expenses like gas procurement, transmission costs (moving gas from production to our network), and retailer costs and margins.