Electricity Authority receives uplift in Budget 2025

The Electricity Authority Te Mana Hiko is pleased the Government has approved an increase in the Authority’s levy-funded appropriation in Budget 2025.

The confirmed increase is $7.8 million to the Electricity Industry Governance and Market Operations appropriation 2025/26 and outyears, taking the Authority’s total funding to $119.7 million for 2025/26.

This funding recognises the work the Authority needs to complete to promote a reliable and affordable supply of electricity as Aotearoa electrifies and transitions to an increasingly renewables-based system.

The uplift will enable us to:

• Pay for the increased cost of the system operator contract: $5.7m to enable Transpower to maintain its current obligations and deliver the system operator service

• Cover service provider contractual obligations: $0.8m to fund inflation uplifts across the third-party service providers we contract to operate the electricity markets

• Deliver high priority work to improve the electricity market for consumers: $1.3m to accelerate our work towards achieving a competitive, reliable and efficient electricity industry for the long-term benefit of consumers and for New Zealand.

Thank you to all who engaged in our 2025/26 Levy-funded appropriations consultation. Your feedback helped to inform our planning and funding request to the Minister for Energy.