Investigation of alleged breaches of the Code by Summersby Holdings Limited and Power House 23 Limited
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On 13 October 2022, the Authority appointed an investigator to investigate alleged breaches of the Electricity Industry Participation Code (the Code) by Summersby Holdings Limited and Power House 23 Limited.
The Authority has alleged that these companies may have breached clauses 11.32A–11.32C of the Code, which provide that retailers must facilitate the access by consumers of their electricity consumption data.
Any participant that considers it is affected by the matter being investigated, and that wishes to become a party to this investigation, should notify the investigator by 5pm, 8 November 2022. The investigator can be contacted, citing the reference ‘Investigation 2208NPAP1’ in the subject line, by emailing compliance@ea.govt.nz.
You can find out more about the Authority’s process for dealing with alleged breaches of the Code below.
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Decision on real-time pricing changes to the system operator’s policy statement
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The Authority requested that the system operator propose changes to the policy statement, under clause 8.11A(2) of the Code, to reflect the changes required under the real-time pricing Code amendment.
Following consultation, the Authority approved the system operator’s proposed changes to the policy statement and adopt the new policy statement by publishing it and incorporating it into the Code.
The new policy statement will come into effect on 1 November 2022.
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Market Insights: How wind energy interacts with the New Zealand power system
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How much electricity do wind farms generate? How does the wind influence electricity spot prices and thermal generation?
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Avoided Cost of Transmission Payments Consultation: Submissions now published
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We have now published the submissions we received on our Avoided Cost of Transmission (ACOT) payments. We received 22 submissions.
We are now seeking cross submissions on the initial submissions, which are due before 5pm on 3 November 2022.
The Authority thanks all those who provided a submission, and we look forward to receiving your further feedback.
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Closure of a breach of the Code by the Electricity Authority
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On 19 October 2020, the Electricity Authority breached clause 8(3)(a) of Schedule 13.4 of the Code when it failed to write to the clearing manager and the grid owner advising of its decision to approve the application of Alinta ENZ Limited’s kiln co-generation plant to be classed as a Type B industrial co-generation station.
The Authority is not taking further action in relation to a breach of the Code by the Authority.
This decision and reasons for the decision are published in accordance with the Authority’s Enforcement Policy.
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Closure of investigations
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The Authority has decided to discontinue the following investigations. The Authority’s decisions and reasons for each of those decisions can be found here
- Alleged breaches of clause 3 of Schedule 12A.4 of the Code by Vector Limited, Powerco Limited and Aurora Energy Limited concerning recorded terms in their Default Distribution Agreements.
- Self-reported and alleged breaches of clauses 13.58A, 13.69A and 13.88 of the Code by Transpower New Zealand Limited as the system operator. The investigation concerned the incorrect modelling of the AC transmission system when the system operator incorrectly modelled the Pakuranga to Whakamaru circuit impedances.
- Alleged breaches of clause 8 of Schedule 10.6 of the Code, and clauses 10.6, 10.13, 10.44 of the Code, by Counties Energy Limited following a fault to a high voltage metering installation between March 2019 and February 2021.
- Alleged breaches of clauses 17 of Schedule 15.2 of the Code by Nova Energy Limited following a fault to a high voltage metering installation between March 2019 and October 2020.
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Amendments to existing exemptions
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The Authority has approved the extension of two exemptions related to the co-generation plant embedded within the Te Rapa dairy factory:
- AccuCal Limited (no.202) from complying with the obligation in clause 4(2)(a) of Schedule 10.7 of the Code, not to use subtraction to determine submission information for ICP 0000880392WEA92.
- Contact Energy Limited (no.203) from complying with the obligation in clause 10.24(c) of the Code, not to use subtraction to determine submission information for ICP 0000880392WEA92.
The Gazette notices, including reasons for the approval, are available on the exemptions page of the Authority’s website. The exemptions now expire on 31 December 2023.
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On 7 September 2022 the Rulings Panel issued its decision on a breach of clause 13.141(2) of the Code by Transpower New Zealand Limited as the grid owner.
On 8 October 2022 the Panel ordered Transpower to pay the Authority costs.
The Panel’s costs decision can be found below
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Security and Reliability Council papers from 10 August 2022 meeting published
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The papers relating to the Security and Reliability Council meeting held on 10 August have been published.
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Reminder: Transmission Pricing Methodology Code amendment consultation closes 31 October
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We are consulting on several technical amendments the Authority proposes to make to the new Transmission Pricing Methodology (TPM). The proposed amendments will allow the new TPM to be implemented with more certainty. We value stakeholders’ feedback on our proposal.
This is a reminder that submissions on this consultation are due by 5pm, 31 October. You can read more about the consultation at the link below.
Please send submissions to network.pricing@ea.govt.nz
Please note that new versions of the following documents relating to the technical amendments were uploaded on 20 October 2022:
Document number 13 – TPM with proposed amendments in track changes
Document number 14 – Appendix A workings
A correction: last week’s Market Brief included the following incorrect statement: ‘Later this year Transpower will consult on transmission charges for the pricing year starting 1 April 2023.’ That should have read as follows: ‘Later this year Transpower will communicate transmission charges for the pricing year starting 1 April 2023.’
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Amended Emergency Management Policy approved
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The Authority has decided to replace the system operator’s Emergency Management Policy (EMP) in its entirety. The replacement EMP becomes effective on 1 December 2022. The EMP is a document incorporated into the Code by reference.
The Authority’s decision paper and summary of submissions, including a marked up version of the replacement EMP, can be found below.
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Inefficient Price Discrimination in very large electricity contracts
Closing 5pm 31 October 2022
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Amendments to correct issues in the new Transmission Pricing Methodology
Closing 5pm 31 October 2022
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Electricity Authority consultation on 2022/23 and 2023/24 levy-funded appropriations
Closing 5pm 1 November 2022
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Level 7, AON Centre, 1 Willis Street, PO Box 10041, Wellington 6143, New Zealand
Tel: + 64 4 460 8860 Email: communications@ea.govt.nz
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