Separate Accounting Methodology
The developed methodology aims to ensure transparent accounting of revenues, expenses, and engaged assets of Natural Monopoly Entities (NMEs) across regulated and non-regulated types of services. It defines unified approaches to asset classification, cost allocation, and production reporting in compliance with legislative requirements and IFRS (International Financial Reporting Standards) principles.
🔑 Key Elements
- Direct Allocation Priority: Primary focus on directly attributing expenses and revenues to specific types of services.
- Causal Allocation: Application of cause-and-effect relationships and standardized cost-driver bases for allocation.
- Asset Classification: Categorization of assets into direct, indirect, shared, and general-purpose assets.
- Standardized Tariff Estimates: Unified frameworks for developing tariff estimates.
- Internal Governance: Robust tools for internal control and auditing.
🎯 Purpose & Impact
This methodology was developed to enhance the accuracy of tariff calculations and prevent cross-subsidization, as well as to facilitate efficient preparation for public reporting and oversight by regulatory authorities.
