Rental Method Sample Clauses
Rental Method. 4.1 The QCA’s position
a) it proposes to accept that the objective and underlying philosophy of the rental calculation methodology under current regulation practices are reasonable2;
b) ‘the rental calculation is complex, and we consider simple examples should be provided with the SUFA agreements in order to assist SUFA funders to assess the future revenue streams from user funded assets’3;
c) ‘Aurizon Network’s proposed post-regulatory rent objective does not provide certainty over rental cash flows should the declared service/infrastructure cease to be regulated’4;
d) SUFA should allow for parties to remain, following deregulation, under the ‘regulated contract’5, and
e) SUFA should allow for linked access agreements ‘to include a schedule setting out access charges in the event that an asset is no longer declared’6.
Rental Method. The rental calculation methodology is an integral component of the SUFA model as it governs the user funders’ entitlement to returns on and of capital invested in a SUFA asset. Aurizon Network and stakeholders are in agreement that the SUFA documentation should incorporate a method of calculating rent that is as clear and as simple as possible. This method of calculation should closely align with the regulatory arrangements from time to time.
3.1 The QCA’s position
a) the clarification and simplification of the method of rental calculation1;
b) the development of worked examples of rental calculation and their inclusion in the SUFA documentation2; and
c) the provision of a degree of certainty over the rental stream in the event of a change in the regulatory environment3.