Costing principles establish a basis for the ERA to determine or approve upper and lower cost bounds for each route section for price negotiations should proposal for access be made by an access seeker.
The Railways (Access) Code 2000 was amended in 2023. The requirements for railway owners’ costing principles have changed in the amended Code. Existing railway owners must have costing principles approved which meet the changed requirements.
Existing railway owners’ costing principles will be supported by regulatory asset bases and depreciation schedules, which must be approved by the ERA. These instruments must be provided by the railway owner following approval of the costing principles.
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