Clearing manager

The clearing manager ensures that industry participants pay or are paid the correct amount for the electricity they generate, or consume, and for market-related costs.

About the clearing manager

The clearing manager invoices industry participants by combining reconciled quantity information (provided by the reconciliation manager), with half-hourly pricing information (from the clearing manager), to determine the amounts owed to and by each industry participant.

Every year the clearing manager acts as the counterparty for over $6 billion worth of electricity transactions.

The clearing manager also makes sure industry participants will be able to pay their invoices for the electricity they've consumed and the financial transmission rights they've purchased. 

Why is this role important?

Unlike other products, electricity is consumed before it is invoiced, and can't be repossessed. If a purchaser fails to pay, then generators cannot be paid, potentially causing them cash flow issues.

The clearing manager provides industry participants with confidence that they will be able to be paid by continuously calculating and collecting prudential security requirements.

Understand about prudential security here.

The clearing manager also manages disputes or payment defaults. A participant may dispute an invoice through the clearing manager. If the clearing manager upholds the dispute, the clearing manager may reissue invoices.

Who is the clearing manager?

The Electricity Authority has contracted NZX as the clearing manager. 

Monthly reports

Monthly reports are available below on the clearing manager function. These include settlement data, prudential data, total wash-ups due and more.

Service provider agreements

The service provider agreements set out the functions and processes that the clearing manager must perform.