Consultations

The Market Development Advisory Group (MDAG) is undertaking a project to understand how price discovery would work in the New Zealand wholesale electricity market (including spot and hedge markets) under a 100% renewable electricity system.

MDAG is made up of 10 representatives from the electricity sector who provide independent advice to the Authority on issues in the Authority’s work programme that primarily relate to pricing and cost allocation, risk and risk management, and operational efficiencies.

The options paper proposes a range of options where change could be warranted as we transition towards 100% renewable electricity supply.

The paper is structured around the following key areas for future action, each with multiple options for consideration, as noted below:

• Ensuring reliable and efficient operational coordination
• Ensuring effective risk management and efficient investment
• Lifting demand-side participation
• Strengthening competition
• Increasing market confidence

The Authority and MDAG recognise that the sector has a key role to play as we transition to a 100% renewable electricity system, and many options in the paper will impact sector participants. The Authority and MDAG welcome feedback on all options.

The MDAG will consider submissions on this consultation before developing final recommendations for the Authority in mid-2023.

Submissions should be emailed to MDAG@ea.govt.nz by 5:00pm Monday 6 March 2023.

Cyclone Gabrielle – to request an extension to the submissions deadline please email: MDAG@ea.govt.nz

Price Discovery in a Renewables-Based Electricity System options paper is available here.

This issues discussion paper describes the key issues with the current wholesale electricity market design that the MDAG believes should be explored to enable a shift to 100% renewable electricity supply. The purpose of this paper is to consult with interested parties on the key issues identified by MDAG.

The MDAG are interested to hear your thoughts and we encourage you to respond to the consultation by 5pm, Wednesday 16 March 2022. MDAG will consider all submissions as it moves into the second stage (option identification and analysis) of the 100% Renewable Electricity Supply project.   

 Submissions received