KĀINGA ORA WINTER ENERGY STUDY TERMS AND CONDITIONS

1. Background
Mercury is partnering with Kāinga Ora on a new project starting in May 2023 to provide eligible customers with a capped electricity bill for 4 bills in 2023 and 5 bills in 2024 over the winter months (we call these Capped Periods). The information gathered from this project will contribute towards helping the Government and electricity companies make more informed decisions about how they could better support people to use and afford electricity in the future (the Study). 

2. How will it work?
During the two Capped Periods, you can use as much electricity as you need to heat your home, as long as your usage meets our Fair Use Policy (see details in clause 10). Regardless of your actual usage you will never pay more than the amount that has been determined for you (the Cap) during the Capped Periods. If your electricity bill is less than your Cap, then you will only be charged for the amount that you have used.
To support the Study, Mercury will share certain information with Kāinga Ora. You can read more about this in clause 11.

Participating in the Study is subject to your agreement to the following Winter Energy Study terms and conditions (Study Terms), which apply in addition to Mercury’s Standard Residential Terms and Conditions (Residential Terms).  In the event of any conflicting terms, these Study Terms will apply.  

3. Eligibility for the Study
Participation in the Study is open to existing Mercury Residential customers who:

  1. Have lived in the same Kāinga Ora Healthy Homes Guarantee Act compliant property since 31 December 2021 in Kāinga Ora approved regions of Auckland or Christchurch;
  2. are not already participants in any other Kāinga Ora trial/study that could compromise the results of the Study;
  3. have been invited by Kāinga Ora to be a part of the Study;
  4. have given consent to Kāinga Ora to participate in the study and share information to enable the study
  5. have been a Mercury customer at their current address on a continuous basis since at least 31 December 2021;
  6. are an electricity-only customer and are not currently on a fixed term contract;
  7. are currently on Mercury’s Standard Everyday Rates and are not receiving any special offers or discounts;
  8. have a working smart meter;
  9. only have one Installation Control Point (ICP) at their property; and
  10. remain a Mercury Residential customer for electricity-only at that same address until at least the end of the second Capped Period in 2024.

4. How to participate in the Study
To confirm your participation in the Study you must agree to these Study Terms by 4pm on 14 April 2023.  You can do this by calling the Kāinga Ora Customer Support Centre on 0800 801 601, or wait for Kāinga Ora to give you a call, which they’ll do shortly.

5. Term
There are 3 parts to the term of this Study:

  • Capped Periods;
  • Uncapped Periods; and
  • The Information Periods.

6. Capped Periods
Mercury’s billing cycles mean that you will usually receive one bill each month. The billing cycle typically covers between 20 and 24 business days although it can differ slightly from bill to bill. The Cap will be applied to the bill you receive for each Mercury billing cycle during the Capped Periods.

For example, let’s pretend your next billing cycle runs from 26 May to 27 June (22 Business Days) and your Cap is $100 per billing cycle. During that cycle, you can use as much electricity as you need to heat your home, and you will not pay more than $100, regardless of how much electricity you use (subject to Fair Use).

So, if you’ve actually used $150 worth of electricity between 26 May and 27 June, you will only pay $100 and Kāinga Ora will pay the other $50 directly to Mercury. If you’ve used $70 worth of electricity (which is under your Cap) then you will only pay $70.  Even though Kāinga Ora will be paying part of your bill over the Cap that is the only responsibility Kāinga Ora has in relation to your electricity.  If you have any questions about your electricity or the Cap please contact Mercury.

Your Cap will apply as follows:

  1. From your first new billing cycle after 19 May 2023 for 4 consecutive billing cycles (Capped Period 1).
  2. From your first new billing cycle after 1 May 2024 for 5 consecutive billing cycles (Capped Period 2).

We will let you know in advance when your Capped Periods will start.

7. Uncapped Periods
Outside of the Capped Periods are your Uncapped Periods. This is when the Cap will not apply, and you will be charged the full value of your electricity usage at the standard Mercury Everyday Rates. Your Uncapped Period will run from the end of Capped Period 1 until the start of Capped Period 2.

At the end of Capped Period 2, the Cap will no longer apply and you will be charged the full value of your electricity usage at the standard Mercury Everyday Rates, unless Mercury offers you, and you accept, a new price plan before the end of the Study.

8. Information Period
The Information Period starts 24 months prior to the start of Capped Period 1 and continues throughout the Study and for 12 months after the end of Capped Period 2. During this time, we will collect and share operational information that is necessary to give effect to this Study with Kāinga Ora. You can find out more about this in clause 11.

9. How the Cap works

  • Your electricity bill will be calculated at Mercury’s standard Everyday Rates throughout the Study.
  • Your Cap is based on the historical usage data that Mercury holds for your customer account at your current ICP.
  • For each billing cycle during Capped Period 1 and Capped Period 2 you will be billed for electricity that you actually use or the Cap, whichever is the smaller amount.
  • The Cap applies to electricity charges only and includes GST. The Cap does not include any of the Mercury Service Fees (available at mercury.co.nz/fees) as referred to in our Residential Terms, nor does it include other charges such as Starship donations or debt repayments, which are shown as separate items on your bill. Any subsequent change to the NZ Government GST rate and/or Mercury Service Fees within the Study will apply.
  • Mercury’s standard Everyday Rates may change during the Study period.  You will be notified of any changes as per our Residential Terms.
  • Your Cap may be reviewed and changed between Capped Period 1 and Capped Period 2.Mercury will provide you with written notification of the change at least 30 days before the start of Capped Period 2.
  • If you have signed up to earn rewards with Mercury (a loyalty program), any points earned based on bill payments, will be calculated on the actual amount paid on your electricity bill i.e., the Cap amount or the amount based on your actual usage (if this is less than the Cap).

10. Fair Use Policy
During the Capped Periods, your electricity use must be fair, reasonable, and not excessive.

We understand that there are circumstances that are out of your control (for example, a broken hot water cylinder) which may impact your usage. We are not concerned about this where there is a genuine reason for higher usage. However, we would be concerned where you are using electricity for illegal purposes or in ways that are not covered by our terms (such as using it for business purposes).

How do we measure excessive usage?
We’ll review usage against an exaggerated measure of a typical customer’s electricity usage. We’ll consider your usage to be excessive and unreasonable if it exceeds the exaggerated measure over any day, week, or month (or other period of time as determined by us).

What happens if my usage is excessive?
If we do determine your usage is excessive, Kāinga Ora or Mercury will contact you directly to understand more about what may be causing this. Excessive usage may result in removal from the Study.

11. Information Sharing
To run the study, Mercury needs to share some information about you with Kāinga Ora. A list of this information is shown below. You acknowledge and agree that as part of the Study, Mercury will share the information shown below with Kāinga Ora:

  1. your Cap
  2. details of your historic and current electricity consumption up to and including two (2) years prior to the start of Capped Period 1 and up to and including one (1) year following the end of Capped Period 2.
  3. your billing and payment patterns and other operational and administrative information that is necessary to give effect to the study.
  4. communications that Mercury has with you about the Study
  5. any changes in your circumstances meaning you are no longer eligible to be part of the Study
  6. information related to whether there has been a potential breach of the Fair Use Policy.

You acknowledge and agree that the information shared with Kāinga Ora will be handled in accordance with the Kāinga Ora Privacy Policy.

12. Leaving the Study
You are free to leave the Study at any time by contacting the Kāinga Ora Customer Support Centre on 0800 801 601.

You will no longer be eligible to participate in the Study and receive the Cap if you breach these terms for reasons including:

  1. Your circumstances change and you no longer meet one or more of the eligibility criteria contained in clause 3 above;
  2. You breach the Fair Use Policy outlined at clause 10 above; and/or
  3. You choose to take up any other Mercury offer or service.

If you choose to leave the Study without accepting a new offer, or if you are no longer eligible and we remove you from the study, the Cap will no longer apply and you will be charged standard Mercury Everyday Rates, based on your consumption.  

13. Changes to the Study

  • You are free to opt out of the Study at any time but you will no longer be eligible to receive a Cap.

Mercury may:

  • cancel the Study, change the start date, or make any changes to the Study at any time before the start of Capped Period 1. If any of these events occur, Mercury or Kāinga Ora will advise you of what is changing;
  • change the Study at any time after the start of Capped Period 1, including reducing the number of participants, or reducing the length of the Capped Periods. If we make any changes to the Study after the start of Capped Period 1, we will give you 90 days’ notice before any such change takes effect;
  • end the Study at any time after the start of Capped Period 1 or remove you from the Study for any reason. If we terminate the Study or remove you from the Study, we will give you 90 days’ notice after which you will no longer receive your Cap and will be charged the full value of your electricity usage at the standard Mercury Everyday Rates, unless we offer, and you accept a new offer.

14. Moving House
If you move house during the Study, you may no longer be eligible to participate in the Study or receive your Cap. Unless otherwise agreed with Mercury you will be moved back on to Mercury’s standard Open Term Plan and you will be charged the full value of your electricity usage at the standard Mercury Everyday Rates. If you’re planning to move, please contact us on 0800 10 18 10.

15. Other important stuff

  • No early termination fees or exit fees will apply at the end of the Capped Period 2 or if you choose to leave the Study at any time.
  • Any debt that you incur will be treated in accordance with our Residential Terms. During the Study, any payments that you make that are above the Cap will be automatically allocated to any outstanding arrears.
  • Your participation in the Study and the benefit you receive from the Cap is not transferable or redeemable for cash.
  • Mercury’s Privacy Policy, and Residential Terms apply except as otherwise stated in these Study Terms. Please see our website mercury.co.nz for full details.