Response to submissions and next steps: More standardisation of use-of-system agreements
The Authority has published its response to submissions and next steps relating to more standardisation of use-of-system agreements.
The Authority has decided to proceed with developing a Code amendment proposal for its preferred option of establishing a default UoSA, but will make a final decision to amend the Code next year. In the meantime, the Authority expects distributors and retailers to continue to negotiate UoSAs comparable to the key components of the existing MUoSA. If this occurs then amending the Code may not deliver net benefits and the Authority would reconsider its decision to amend the Code.
The Authority considers that more standardised use-of-system agreements would promote the Authority’s statutory objective by reducing transaction costs for retailers and distributors, and by improving the conditions that would lead to enhanced retail competition across more network areas in New Zealand.