Retail pricing

Retail price controls may be required for services deemed to be insufficiently competitive for the prices to be left to the market. The first stage in the regulatory process involved the identification of those services and the costs associated with providing them. This requires the practical application of the principles of finance (encompassing cost of capital estimation and asset valuation), efficient and productivity analysis and investment appraisal, all within a framework that provides incentives for efficient behaviour. These same techniques have been used to advise non-regulated companies on the optimal pricing strategies.

Frontier staff has experience in advising regulators on price reviews, regulated companies affected by these decisions and non-regulated companies on their optimal pricing strategies