Task Force Package Two guidance resources now available

We have developed three guidance documents to support distributors and retailers implement new rules that will give consumers more choices for how they use, buy and sell electricity.

The new rules – announced in July 2025 and based on three Energy Competition Task Force ‘Package Two’ initiatives – will benefit all consumers by putting downward pressure on electricity prices over time.

The guidance documents are designed to help distributors and retailers understand their obligations and comply with the new requirements.

The guidance documents will be updated as and when necessary. If you have any questions, or think there’s something that should be included, please contact network.pricing@ea.govt.nz.

We are also undertaking further work to address minor issues in the current Code drafting for two of the new rules. Addressing these minor issues is necessary to ensure the new requirements are clear, and practical to implement.

We do not expect our work to resolve these issues will delay retailers or the majority of distributors from implementing the new rules or using the guidance documents. More details about this further work are below.

For distributors

From 1 April 2026, distributors must offer a tariff that rewards small consumers for injecting electricity into the network at peak times. This is delivered as a negative charge, which is credited to the consumer’s retailer.

We have added a new chapter to the Distribution Pricing Practice Note to help distributors develop and implement negative charges (or rebates) to comply with this new rule.

The new chapter of the Distribution Pricing Practice Note sets out the principles, focusing on the first year of implementation when distributors can use an interim measure to set their negative charge. Further guidance will be issued in 2026 on how to set the negative charges beyond the transition period.

Pricing for distribution peak export tariffs – Distribution Pricing Practice Note Chapter 6

We have also developed guidance for distributors that sets out the new requirements for assigning time-varying tariffs to customers with smart meters and billing retailers using more accurate consumption data.

Charging based on time-varying price plans – Distributor guidance

Following our July 2025 decision, we have been made aware of a discrepancy between the policy decision to reward small consumers who supply energy at peak times, and our definition of ‘small business consumers’.

The current definition could allow businesses who don’t use much electricity, but who are also large generators, to receive the rebate. This goes against the policy intent to reward only small consumers. We will be consulting on an amendment to the Code in order to resolve this issue.

For retailers

From 30 June 2026, large retailers must offer time-varying pricing plans to their customers for their electricity supply and use. Any large retailers who don’t meet this rule, at any time after 30 June 2026, face additional obligations. These additional obligations come into effect from 1 October 2026 onwards.

We have developed guidance that details what’s required, by who and by when, in order to comply with this new rule and additional obligations.

The guidance also sets out how the Authority will monitor retailers’ pricing plans to ensure the requirements are being met and consumers are being given the kind of options we expect.

Time-varying price plan requirements – Retailer guidance

Since releasing our decision paper in July 2025, we’ve been made aware that the definition of ‘small business consumers’ also presents an issue for retailers in offering time-varying pricing plans. Standardised pricing plans are not relevant to many of the consumers captured by the definition.

We are considering options to address this issue.