My understanding is the new GSAs with Origin Energy effective just now is Fixed Price plus annual step-ups that is subject to CPI.
It is Fixed Price say $6.50 plus a step-up amount say 15 cents plus CPI of the sum of step-up and Fixed Price (at 3% CPI that comes to about 20 cents). So next year’s gas price is $6.50 plus 15 cents plus 20 cents. Giving $6.85 gas price after one year.
The step-up amount has not been disclosed by Beach but I am pretty sure Macquarie got it wrong in how it worked out the new GSA gas price. Only the Bass gas GSA has no step-up amount.
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My understanding is the new GSAs with Origin Energy effective...
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