Wellington, New Zealand —(METERING.COM)— July 8, 2006 – Powerco and Vector, two of New Zealand’s gas distributors, have today been delivered a notice in the name of good conduct, with the release of the Commerce Commission’s proposals for a new form of control for gas distribution.
The document provides a comprehensive review of the issues relevant to determining the final form of control for gas distribution, including various forms of revenue and price capping. In the Commission’s preliminary view, the weighted average price cap is preferred for control for standard consumers, whereas the total revenue cap is preferred for non-standard customers and metering services.
At present, control is administered by way of a Provisional Authorization. Interested parties including economists, lawyers, regulatory areas and major gas consumers, have until 7 August to submit comments on the paper.