NEW ZEALAND GAZETTE

11 MAY

include the National Grid Manager) to undertake the task of providing an accurate assessment of the quantity of Electricity bought and sold by all parties buying and selling Electricity supplied through the National Grid including, where appropriate, allowances for losses incurred in transmission of the Electricity;

“Year” means a period of 365 days or, in the case of a leap year, a period of 366 days;

1.2 Headings: Clause and other headings are for ease of reference only and shall not to form any part of the context or to affect the interpretation of these Conditions;

1.3 Clauses etc: References to clauses and the schedule are references to clauses and to the schedule to these Conditions and a reference in the Schedule to a paragraph shall be a reference to a paragraph of that Schedule;

1.4 Plural and Singular: Words importing the singular number shall include the plural and vice versa;

1.5 Negative Obligations: Any obligation not to do something shall be deemed to include an obligation not to suffer, permit or cause that thing to be done;

1.6 Statutes and Regulations: References to a statute include references to regulations, orders or notices made under or pursuant to such statute or regulations made under the statute and references to a statute or regulation include references to all amendments to that statute or regulation whether by subsequent statute or otherwise and a statute or regulation passed in substitution for the statute or regulation referred to;

1.7 Time: Any reference to time is expressed on a 24 hour clock basis in New Zealand standard time or New Zealand daylight time, whichever is in force, as defined in the Time Act 1974;

1.8 Currency: All amounts referred to in these Conditions are denominated in New Zealand currency; and

1.9 Liability: Where there is more than one Purchaser reference to a Purchaser shall be deemed to include all of the Purchasers jointly and severally.

2. SUPPLY OF ELECTRICITY

2.1 Deemed Purchase: If the Purchaser takes a supply of Electricity (which is generated or made available by ECNZ) from the National Grid other than in accordance with a formal supply contract with ECNZ or an Alternative Supplier the Purchaser shall thereby be deemed to have accepted that such supply is on the terms set out in these Conditions.

2.2 No Liability: Notwithstanding ECNZ permitting the Purchaser to continue to take a supply of Electricity without a formal agreement between ECNZ and such Purchaser, such continued supply shall not be construed as implying that ECNZ accepts any responsibility for Electricity injected into the National Grid and in particular ECNZ accepts no responsibility for:

(a) the quality of Electricity taken by the Purchaser; or

(b) any interruptions to supply to the Purchaser or lack of a continuous supply;

and further ECNZ shall have no liability to the Purchaser arising from any non-supply of Electricity, interruption to the supply of Electricity or any loss or damage incurred by the Purchaser as a result of the Purchaser taking a supply of Electricity in accordance with these Conditions howsoever that loss or damage arises.

3. PRICING AND PAYMENT

3.1 Pricing: Subject to the provisions hereof, the price payable by the Purchaser for the supply of Electricity to the Purchaser pursuant to these Conditions including losses incurred in the transmission of such Electricity shall be as set out in the Schedule to these Conditions.

3.2 G.S.T.: All charges and prices referred to in these Conditions (including those specified in the Schedule) and payable by the Purchaser as stated exclusive of G.S.T. or any other taxes or levies (if any). The Purchaser shall pay to ECNZ at the time of payment for the supply an amount equal to all G.S.T. on supplies made under these Conditions and in addition shall be liable to pay to ECNZ on demand amounts equal to all other taxes, duties, levies or other charges (other than taxes on income) which are, after the date of these Conditions, imposed from time to time on the supply by ECNZ of Electricity or incurred by ECNZ in respect of the operation of ECNZ’s System.

3.3 Payment: Subject to clause 3.4, all charges payable by the Purchaser for Electricity supplied shall be paid by 2.00 p.m. on the 20th day of the Month following supply or 5 Business Days after receipt of an invoice from ECNZ (whichever is the earlier). Where the date is other than a Business Day, then the account shall be due and payable by 2 p.m on the first Business Day following.

3.4 Prepayment: If, at the commencement of any Month during which the Purchaser takes supply from ECNZ under these Conditions, the Purchaser does not meet ECNZ’s credit requirements, then:

3.4.1 The Purchaser shall pay:

(a) on or before the first day of the first Month in which the Purchaser takes Electricity pursuant to these Conditions, all charges that would be payable if it takes in that Month and the succeeding two Months quantities of Electricity equal to the quantities expected to be taken by the Purchaser in those three Months. ECNZ shall, prior to commencement of the Month, render an account to the Purchaser for its estimate of the quantities of Electricity it considers the Purchaser will take in the next three Months;

(b) on or before the first day of every Month following, a further charge based on the charges that will be payable for the quantities of Electricity expected to be taken by the Purchaser in the third Month following.

3.4.2 All monies prepaid by the Purchaser in accordance with clause 3.4.1 shall, subject to clause 3.4.4, bear interest calculated Monthly on the daily balance from time to time at a rate equivalent to the Bank Bill Bid Rate. For the purposes of this clause 3.4.2, the Bank Bill Bid Rate shall be in accordance with the definition in clause 1.1 of these Conditions except that the bid rate shall be the one Month bid rate. Such interest shall be credited to the Purchaser’s account with ECNZ on the last day of each Month.

3.4.3 Following the end of each Month ECNZ shall calculate the amount payable by the Purchaser for the quantities actually taken by the Purchaser in that Month (“the Actual Amount”). The Actual Amount shall be compared with the sum of the amount prepaid in respect of that Month and the interest credited pursuant to clause 3.4.2 (“the Prepaid Amount”). If:

(i) the Actual Amount is greater than the Prepaid Amount the Purchaser shall pay the difference to ECNZ on the first day of the second Month following the relevant Month of supply or 2 Business Days after receipt by the Purchaser of an account from ECNZ for that difference (whichever is the later);

(ii) the Actual Amount is less than the Prepaid Amount ECNZ shall credit the difference towards the next payment due from the Purchaser or, if no payment is due from the Purchaser, ECNZ shall pay the difference to the Purchaser on the first day of the second Month following the relevant Month of supply.