We are currently reviewing our methodology for determining the weighted average cost of capital (WACC). The main purpose of our review is to determine whether (and if so how) we should change our current WACC methodology to improve its robustness under changing market conditions, such as those since the global financial crisis (GFC). This paper sets out our preliminary view on the WACC methodology which we implemented in our current metropolitan water and electricity and gas retail prices reviews. Our final decision will be released in December 2013.
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WACC Methodology - Interim Report - June 2013
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