 The New Zealand electricity market is complex and has been through
many changes over the years. In particular significant electricity reforms in the mid 1990’s
created a dynamic and competitive environment that separated lines
companies from electricity retail companies. This gave consumers the
ability to choose their electricity retailer. To view the timeline below you must have the
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The electricity industry is made up of four types of providers:
- Generators
- Lines companies
- Energy retailers
- Metering companies
Generators
These organisations generate electricity. Mighty River Power, for example, is a
State Owned Enterprise and Mercury Energy's parent company. It generates electricity from nine highly efficient hydro stations on the Waikato River. Lines companies (Distribution Companies)
These companies each provide and maintain part of the line network that delivers the electricity from the generator to your home. Energy Retailers
Buying and selling wholesale electricity
is done through a "pool" or wholesale spot market, where electricity generators
sell electricity to the marketplace. Electricity retailers such as Mercury
Energy buy what they need from this pool to supply their customers. Metering Companies
These companies own the meters that measure electricity and gas usage for residential and business properties. They also employ the meter readers that record energy usage.  The Electricity Commission
The Electricity Commission is a Crown Entity responsible for overseeing and
governing the electricity market in New Zealand. The Commission's principal objective is to ensure that electricity is produced
and delivered to consumers in an efficient, fair, reliable and environmentally
sustainable manner. The Commission is also required to promote and facilitate
the efficient use of electricity The Electricity Commission is a government initiative. It's responsible for
overseeing and governing the electricity market in New Zealand. The
Commission makes sure that all generators, lines companies and retailers
comply with the rules of the electricity market and maintain honest business
practices. It also monitors lake levels and will be promoting power-saving
initiatives.
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