Transmission pricing Guidelines - archive
- The Guidelines - March 2006
- Transmission pricing process
- Transpower's transmission pricing methodology project plan
The Electricity Commission was required, under rule 4 of section IV of part F of the Electricity Governance Rules 2003, to prepare an issues paper on the process to be followed and guidelines to be used by Transpower in preparing a transmission pricing methodology.
The Guidelines - March 2006
The Commission considered the submissions and cross submissions it received in response to its issues paper reconsulting on the transmission pricing methodology Guidelines on charging for the HVDC transmission line and cable between Benmore and Haywards. The Commission also considered the presentations made at the recent conference on this matter, and the written answers to questions asked at the conference.
The Commission's final decisions can be found in the document Explanatory paper - Commission's final decision, HVDC transmission pricing methodology.
Appendix 2 of that document included the Commission's intended drafting of the Guidelines for the transmission pricing methodology in their entirety. Interested parties were invited to provide comments to the Commission by 5pm on Wednesday 15 March 2006 as to the intended drafting of the Guidelines following the re-consideration process.
The Commission received four responses on the drafting of the Guidelines. The Commission has completed its review of those responses and its final decision can be found in the document Guidelines for Transpower - Transmission Pricing Methodology.
The process to be followed in the development of the transmission pricing methodology remains unchanged from that published on 1 February 2005 (see Explanatory material).
Transmission Pricing Process
The Commission was required, under rule 4 of section IV of part F of the rules, to prepare an issues paper on the process to be followed and Guidelines to be used by Transpower in preparing a transmission pricing methodology.
The Commission consulted with the electricity industry about the proposed process to be used by Transpower by publishing an issues paper and draft process on 22 December 2004. Consultation closed on 19 January 2005 and the Commission proceeded to review submissions received.
Having completed its review of submissions, the Commission was required to publish the process to be used by Transpower in preparing a transmission pricing methodology (“the Process”) as soon as practicable, under the requirements of rule 6.1. In accordance with this rule, the Commission published the Process on this website on 1 February 2005 and provided a hard copy to Transpower on the same day.
In addition, an explanatory document was provided, which detailed the Commission's consideration of submissions received and the reasons for its decisions.
Process for Transpower to prepare the transmission pricing methodology
Transpower's transmission pricing methodology project plan
Pursuant to the determination by the Commission of the Process to be followed by Transpower in preparing a transmission pricing methodology (Process) published on 1 February 2005, clause 1 required Transpower to provide a project plan and milestones for the development of detailed transmission pricing methodology.
Transpower proposed the following project plans for completion of the transmission pricing methodology.
Project plan revised 11 May 2005
Transpower provided a transmission pricing methodology according to the revised project plan. However, before the Commission could complete consideration of this methodology, a High Court decision required the Commission to set aside the Guidelines and reconsult on those guidelines on charging for the HVDC transmission line and cable between Benmore and Haywards.
Following the reconsultation and publishing of the Guidelines, the Commission wrote to Transpower on 24 March 2006 confirming that the process for preparing a transmission pricing methodology continued to be appropriate.
The Commission received a project plan from Transpower on 19 April 2006 indicating the proposed transmission pricing methodology will be submitted by 22 June 2006.
This page is related to: Transmission.