✨ Transmission Policy
3620 NEW ZEALAND GAZETTE, No. 123 30 OCTOBER 2006
Transmission
Background
79 The way in which transmission services are provided and priced impacts
directly and indirectly on all parts of the electricity industry, the economy and
the environment. Transmission has strong natural monopoly characteristics,
which makes it important that the Government sets out its policy expectations
as to how transmission services should be provided and priced and how
Transpower should operate. Poorly designed policies may, for example,
encourage inefficient investment in generation, which would waste scarce
capital resources and cause unnecessary environmental effects.
Objectives for the provision of transmission services
80 The Government’s objectives for the provision of transmission services are
that:
• the services are provided in a manner consistent with the Government’s
policy objectives for electricity and in particular that grid reliability should
be maintained at a level required by residential, commercial and
industrial users and the Government’s economic development
objectives
• the transmission grid should be adequately resilient against the effects
of low probability but high impact events having regard to the load
which could be disrupted and the duration of any disruption
• where practical, the transmission grid should provide adequate supply
diversity to larger load centres having regard to the load which could
otherwise be disrupted and the duration of any disruption
• competition in generation and retail is facilitated and transmission
constraints are minimised
• the national transmission grid should be planned and made available so
as to facilitate the potential contribution of renewables to the electricity
system and in a manner that is consistent with the Government’s
climate change and renewables policies
• the efficiency of transmission services should be continuously improved
so as to produce the services grid users and consumers want at least
cost, and
• the services are priced in a manner that:
o is transparent
o fully reflects their costs including risk
o facilitates nationally efficient supply, delivery and use of
electricity
o promotes efficient investment in transmission or transmission
alternatives
o promotes nationally efficient use of transmission services by grid
users and consumers
Next Page →
Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2006, No 123
Gazette.govt.nz —
NZ Gazette 2006, No 123
✨ LLM interpretation of page content
🏛️
Financial Transmission Rights
(continued from previous page)
🏛️ Governance & Central AdministrationElectricity, Financial Transmission Rights, Marginal Cost Nodal Energy Pricing, Transmission Losses, Transmission Constraints, Risk Management, Policy Statement
🏛️ Transmission Services Provision and Pricing
🏛️ Governance & Central AdministrationTransmission Services, Pricing, Policy, Government Objectives, Electricity Industry, Economy, Environment
🏛️ Objectives for Transmission Services
🏛️ Governance & Central AdministrationTransmission Services, Reliability, Resilience, Supply Diversity, Competition, Renewables, Efficiency, Pricing