Electricity Consumer Protections




2474 NEW ZEALAND GAZETTE, No. 92 4 JUNE 2008

• retailers are required to consult with the Ministry of Social Development about
possible assistance for vulnerable consumers where, in spite of the retailer’s
assistance, the consumer is unable to pay, and that there is no disconnection
while that consultation is occurring

• any consumer who is dependent on electricity for critical medical support will
not be disconnected for reasons of non-payment

• clear guidelines or standards exist for disconnections following non-payment
in order to avoid the costs of frequent disconnections and reconnections

• there is regular communication with all consumers on their payment options

• debt recovery is arranged in a time-frame that avoids an adverse credit
situation for the retailer and minimises hardship for the consumer

• consumers enter into the most appropriate contracts for their needs

• consumers are given the opportunity to identify themselves as potentially
vulnerable

• where the consumer has not responded to any of the notices sent by the
retailer, and the retailer has been unable to contact the consumer, there is a
visit to a consumer’s home before disconnection for non-payment takes
place.

  1. The Commission should consider options such as pre-payment meters, alternative
    payment options (such as advance payments, more frequent payments or
    smoothed payments) and bonds. The Government considers that, in principle,
    bonds should not exceed the value of one month’s electricity consumption by an
    average household.

Arrangements in the event of retailer insolvency

  1. The Commission should establish arrangements to ensure an orderly transition for
    consumers in the event that a retail company becomes insolvent.

Consumer complaints resolution system

  1. Section 158G(1) of the Electricity Act requires that every electricity distributor and
    every electricity retailer must participate in a complaints resolution system, provided
    that the Commission has approved one or more complaints resolution systems
    under that section.

  2. The Government expects everyone (including potential consumers and owners and
    occupiers of land), in their capacity as producers or consumers of electricity, to
    have access to an independent and cost-effective system for resolving complaints
    about electricity distributors (including Transpower) and electricity retailers without
    charge to the user/applicant, whether or not they have a consumer contract with the
    retailer or distribution company.

  3. The Commission should, in consultation with the Ministry of Consumer Affairs,
    ensure that any approved system adequately addresses consumers’ interests.

  4. The Government believes that consumers’ best interests are more likely to be
    served by a single independent complaints resolution scheme that includes both
    electricity and gas. The reason for this is that a single dual-fuel scheme provides



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Online Sources for this page:

VUW Te Waharoa PDF NZ Gazette 2008, No 92


Gazette.govt.nz PDF NZ Gazette 2008, No 92





✨ LLM interpretation of page content

🏭 Guidelines for Low Income and Vulnerable Consumers (continued from previous page)

🏭 Trade, Customs & Industry
Low-income consumers, vulnerable consumers, payment assistance, budgeting advice, compliance monitoring

🏭 Arrangements in the event of retailer insolvency

🏭 Trade, Customs & Industry
Retailer insolvency, consumer transition, electricity

🏭 Consumer complaints resolution system

🏭 Trade, Customs & Industry
Complaints resolution, electricity, gas, consumer protection