Report
Adrian Atkins
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Planned Electricity Price Caps Not a Major Threat to AGL; No change to FVE

Following on from the Australian Competition and Consumer Commission's, or ACCC's, recent inquiry into electricity prices, the government is implementing a couple of the easier and more effective recommendations--the low hanging fruit. Namely, the Australian Energy Regulator, or AER, will set a maximum retail electricity price for each region, known as the default offer price, from July 2019 and enforce a reference bill to help customers compare different offers. Legislative changes are required...
Underlying
AGL Energy Limited

AGL Energy is a renewable energy company, serving customers throughout eastern Australia. Co. has four segments: Energy Market, which sells electricity, natural gas, and energy related products and services to consumer market, business and wholesale customers, servicing approximately 3.7 million customer accounts as of June 30 2016; Group Operations, a diverse power generation portfolio; New Energy, which focuses on taking new and distributed technologies to market in Australia, including AGL Solar, and Distributed Energy Services such as Active Stream, its digital meter installation and data provider business; and Investment, which include investments in various energy related business.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Adrian Atkins

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