New Zealand Gazette – 2009 – No. 75

Page 1745

✨ Retail and Distribution Line Losses



27 MAY 2009 NEW ZEALAND GAZETTE, No. 75 1745

Retail

  1. The Government considers that competition between electricity retailers should, over time, help ensure that retailing costs are minimised, service quality is improved and downward pressure is placed on generation costs. Most consumers, especially in larger centres, have a choice of retailers, and the processes for consumers to change suppliers have steadily improved. The Government considers, however, that retail competition is not as vigorous as it could be, and looks to the Commission to promote and facilitate retail competition.

  2. The Commission should take primary responsibility to promote and facilitate efficient and well-functioning markets and related arrangements for:

• Terms and conditions for access to end-use electricity meters by retailers
• Processes and procedures to ensure that consumers are able to switch retailers with a minimum of inconvenience and cost
• Enabling retailers to effectively manage price risk e.g. through hedging.

The reconciliation of, and payment for, distribution line losses

  1. Current methods for calculating, reconciling and arranging payment for distribution line losses by competing retailers are often raised as a concern by retailers. The Commission should develop model approaches to improve distribution loss factor calculation and should investigate and make recommendations for the management, minimisation and allocation of distribution losses.


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Online Sources for this page:

Gazette.govt.nz — PDF NZ Gazette 2009, No 75




✨ LLM interpretation of page content

🏭 Government Considerations on Retail Competition in Electricity

🏭 Trade, Customs & Industry
Electricity retail, Competition, Consumer choice, Retailer switching, Price risk management

🏭 Commission's Role in Promoting Retail Competition

🏭 Trade, Customs & Industry
Electricity retail, Market efficiency, Consumer switching, Price hedging

🏭 Distribution Line Losses and Reconciliation

🏭 Trade, Customs & Industry
Distribution line losses, Reconciliation, Payment methods, Loss factor calculation, Loss management