2050 NEW ZEALAND GAZETTE, No. 86

Commission’s Reasons for the Grant of the Exemption

The reasons for the grant of the exemption are as follows:

● Most of the energy produced by Alinta’s generation at Glenbrook is used on-site and the on-site processes require the operation of the co-generation plant in conjunction with these processes. Alinta is therefore unable to comply with Rule 4.11 of Section III of Part G, which requires it to comply with all dispatch instructions properly given by the system operator (subject to certain exceptions).

● Granting the amendment of the exemption will allow time for the Commission to complete its investigation into Rule changes or other mitigation measures which appropriately reflect the operation of the co-generation plant.

Date Upon Which the Exemption Becomes Effective

Pursuant to Regulation 195, the date upon which the exemption contained in this notice takes effect, being a date which is not earlier than the date of the New Zealand Gazette notice in respect of the exemption, is 2 June 2005.

Dated at Wellington this 27th day of May 2005.

For and on behalf of the Electricity Commission:
ROY HEMMINGWAY, Chair.
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                                    2 JUNE 2005

of transmission for many years to come. It is therefore prudent to provide for the possibility that the Commission may require a longer consideration period than is currently allowed for under Rule 2.1.5.1 of Section II of Part F; and

● the proposed amendment to Rule 2.1.5.1 of Section II of Part F brings it into line with the provisions of Rule 2.2.4.1 of Section II of Part F, which deals with the Commission’s consideration of submissions on the proposed categories of designated transmission customers. The Commission’s deliberations on the categories of designated transmission customers and the structure of transmission agreements are inextricably linked. Bringing the provisions of the two Rules into line allows the Commission to consider the submissions on these two linked issues in the same timeframe.

6. These Rules come into force on 30 June 2005.

7. Copies of the Rules may be inspected free of charge or purchased from the Electricity Commission, Level Seven, ASB Bank Tower, 2 Hunter Street, Wellington.

The Rules can also be viewed on the Electricity Commission web site:

http://www.electricitycommission.govt.nz/rulesandregs/rules

Dated at Wellington this 19th day of May 2005.

TREVOR MALLARD, Minister of Energy.
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Notice of Making of Electricity Governance Amendment Rules (No. 28) 2005 and Notice of Reasons for Decision

1. Pursuant to section 172I of the Electricity Act 1992, I notify the amendment of the Electricity Governance Rules 2003 (“Rules”) under section 172H of the Electricity Act 1992 (“Act”).

2. The empowering provision for the electricity governance regulations in relation to which the Rules are made is section 172D (1) (5) of the Act.

3. A brief description of the nature of the rule amendments is as follows:

● The insertion of a provision into Rule 2.1.5.1 of Section II of Part F of the Rules to allow the Minister of Energy (“Minister”) the discretion to grant a period of longer than 20 business days in which the Electricity Commission (“Commission”) must complete its consideration of submissions in relation to the structure of transmission agreements; and

● minor amendments to the definitions of “Board” and “transmission pricing methodology” in Part A of the Rules to reflect the change of the Commission’s name as enacted under the Electricity Amendment Act 2004 and to correct a typographical error.

4. The amendments to Part A of the Rules are made in reliance on section 172F (3) of the Act.

5. Pursuant to section 172Z (4) of the Act, the reasons for my decision to amend the Rules are that:

● it is possible that there will be a large number of submissions on the structure of transmission agreements, some of which may be complex and in conflict with one another;

● transmission agreement structure and counterparty issues have been unresolved in the electricity industry for some years. The Commission will address this issue for the first time in 2005, and it is extremely important that due consideration is given to the issues before determining an outcome that is likely to influence many aspects

Notice of Making of a Recommendation Concerning the Electricity Governance Rules 2003—Rule Amendment Proposal No. 12

This notice of a recommendation concerning the Electricity Governance Rules 2003 (“Rules”), Rule Amendment Proposal No. 12, is issued by the Electricity Commission (“Commission”), established under the Electricity Act 1992 (“Act”), pursuant to section 172E (2) (c) of that Act.

Section 172E (2) (c) provides that, no later than 10 working days after making a recommendation concerning the Rules to the Minister of Energy, the Commission must publicise the recommendation and the assessment completed under section 172r of the Act.

Recommendation

The Commission made a recommendation that Rule 6.3 of Code of Practice D2 of Schedule D1 of Part D and Rules 5.2.1, 5.4.2, and 6.1.2 of Code of Practice D3 of Schedule D1 of Part D of the Rules be amended in reliance on section 172F (3) (effect of recommendation is minor), on 26 May 2005.

Section 172F (3) provides that the Commission is not required to comply with section 172F (1) (which relates to the carrying out of an assessment) if it is satisfied that the effect of the recommendation is minor and will not adversely affect the interests of any person in a substantial way.

In reliance on section 172F (3), no such assessment has been carried out under section 172F (1).

Recommended Amendments to the Rules

The recommended amendments to the Rules are to address concerns regarding the consistency of the testing of measuring transformers’ rules.

The proposed Rule changes will improve consistency within the codes of practice. They will also ensure that the costs of calibration of metering installations and their components are kept to the minimum necessary to ensure that overall accuracy requirements are met.