Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Government Policy Statement needed to solve pricing drama

The release today of the Electricity Authority’s report on transmission pricing methodology (TPM) confirms Vector’s firm view that a Government Policy Statement is needed to shape a transmission pricing regime that is fair for all New Zealanders.

Vector’s Group CEO Simon Mackenzie says the EA’s draft decision has far-reaching implications into the government’s priority objective of increasing energy affordability, particularly for consumers in energy hardship – a clear focus of the Electricity Price Review (EPR).

“We can’t reconcile how remote electricity generators should pay even less overall to get their product to market, pushing more of the total cost onto consumers,” Simon said.

“Our position remains that transmission costs need to be equitable between customers and generators, and it is unrealistic at this point to expect that the Electricity Authority can achieve an outcome that is fair for consumers without policy guidance by way of a Government Policy Statement.”

Vector notes that the Electricity Authority has already taken close to a decade to get to this point on transmission pricing, which highlights both the complexity of the issue and the diverse views of industry participants.

The Auckland-based electricity lines company - which is 75.1% community trust owned - looks forward to reviewing the EPR panel’s official recommendations on transmission pricing methodology when their final report is released.


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

$7.5 Billion Surplus: Government Accounts "Show Strong Economy"

“The surplus and low levels of debt show the economy is in good shape. This allows the Government to spend more on infrastructure and make record investments in health and education,” Grant Robertson says. More>>

ALSO:

New OIO Application Trumps Judicial Review: OceanaGold Cleared To Buy Land For Waihi Tailings Expansion

In a surprise turnaround, the government has given OceanaGold a greenlight to buy land to expand its Waihi mine after the application was previously turned down by Land Information Minister Eugenie Sage. More>>

ALSO:

Christchurch Rebuild: Fletcher Sued For $7.5m Over Justice Precinct

Fletcher Building is being sued for $7.5 million by utilities contractor Electrix, one of the subcontractors on the Christchurch Justice and Emergency Services Precinct. More>>

Three New Drugs: PHARMAC Signs Bundle Deal For More Cancer Medicines

420 New Zealanders with lung cancer, breast cancer, multiple sclerosis and respiratory disease will benefit each year from a bundle deal PHARMAC has finalised with a medicine supplier. More>>

ALSO:

"Levels Playing Field": Government Responds To Electricity Price Review

The changes announced today include: • Supporting new and independent retailers by requiring the big power companies to sell into the wholesale market at affordable rates. • Extending discount rates to all customers • A pilot scheme to help customers who have not switched power providers before to shop around for better deals... More>>

ALSO: