Industry Analysis & Industry Trends
Operators in the Electricity Distribution industry use networks to transport electricity from high-voltage transmission networks to households and businesses. These distribution networks are built and regulated to ensure a safe and reliable supply of electricity, even during peak demand periods in summer. Over the past five years, network operators have extended their networks substantially to account for potential rises in peak electricity demand. Regulators allow industry operators to generate a return on their capital so they can pay debt and equity holders. Historically, the amount of revenue that regulators have permitted the industry to capture from users has been proportional to the size of the industry's capital base... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Electricity Distribution industry is in the mature stage of its economic life cycle. Electricity distribution networks provide a well-established service and have a slowly growing customer base. These trends, coupled with increasing household use of solar panels, limit the industry's growth potential. Long-term growth is closely linked to growth in the wider economy, although this can diverge greatly over shorter term horizons.
Industry value added (IVA) is used to measure an industry's contribution to the overall economy. IVA is forecast to grow at a compound annual rate of 1.3% over the 10 years through 2021-22. Although IVA is growing, the industry is expected to underperform annualised real GDP growth of 2.5% over the same period... purchase to read more