Notice of Reasons for Decision
1. Pursuant to section 172I of the Electricity Act
1992, I notify the amendment of the Electricity Governance Rules 2003 (“the Rules”) under section 172H of the Electricity Act 1992.
2. The empowering provision for the electricity governance regulations in relation to which the Rules are amended is section 172D (1) (7) of the Electricity Act 1992.
3. A brief description of the nature of the amendment to Rule 7.1 of Section IV of Part F follows:
The amendment consists of inserting a provision for the Electricity Commission to allow Transpower a longer period than the 90 days currently set out in the Rules
in which to submit a proposed transmission pricing methodology to the Electricity Commission.
4. The amendment is made in reliance on section 172E (3) of the Electricity Act 1992.
5. Pursuant to section 172Z (4) of the Electricity Act 1992, the reasons for my decision to amend the Rules are that:
? Transpower has advised that it requires additional
time to complete the proposed transmission pricing methodology this year, due to the limited staff resources available to complete the work required, and the potential for competing resource requirements to meet other regulatory requirements of both the Electricity and Commerce Commissions; and
? it is conceivable that 90 days may also not be sufficient in future years, particularly if there are further changes to the Part F framework in the Rules which impact on the preparation of the transmission pricing methodology.
6. These Rules come into force on 21 April 2005.
7. Copies of the Rules may be inspected free of charge or purchased from the Electricity Commission, Level Seven, ASB Bank Tower, 2 Hunter Street, Wellington.
The Rules can also be viewed on the Electricity Commission web site:
http://www.electricitycommission.govt.nz/rulesandregs/rulechanges
Dated at Wellington this 21st day of March 2005.
TREVOR MALLARD, Minister of Energy.