Electricity Authority Investigates Business Claims About Energy Markets

The Electricity Authority Te Mana Hiko is using its powers to investigate concerns about pricing, contract availability, and business conduct in both the electricity and gas markets.

These concerns were raised with the Authority by the Northern Infrastructure Forum and other organisations.

"We take all concerns raised seriously, and any concerns related to consumer trust or market fairness demand attention," says Electricity Authority Chair Anna Kominik.

After initial checks, the Authority believes the issue needs a closer look. The Authority has broad powers under the Electricity Industry Act 2010 to investigate and hold market participants accountable.

"We have started a review under section 16 of the Act focused on business consumers’ access to electricity contracts, including commercial and industrial consumers. Section 16 enables us to use formal information gathering powers to look more closely into pricing and other key terms offered to business consumers to assess if there is a deeper issue," said Kominik.

The Authority is working closely with the Commerce Commission, which has launched a new whistleblowing tool to make reporting easier.

The scope and timeframe of the review will be refined once more discussions have been carried out with those voicing concerns.

Notes:

The Electricity Authority is an independent Crown Entity with the main statutory objective to promote competition in, reliable supply by, and the efficient operation of, the electricity industry for the long-term benefit of consumers. The additional objective of the Authority is to protect the interests of domestic consumers and small business consumers in relation to the supply of electricity to those consumers.

The Authority has the power under the Act to initiate and undertake a review exercising its function under section 16(1)(g) to undertake industry and market monitoring, and carry out and make publicly available reviews, studies and inquiries into any matter relating to the electricity industry.

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