Authority’s first Compliance and Enforcement Report highlights compliance trends and priorities for 2026/27

The Electricity Authority has today published its first Compliance and Enforcement Report, providing transparency about compliance and enforcement activity across New Zealand's electricity sector during 2025/26 and highlighting priority compliance areas for 2026/27.

Overall, the sector continues to demonstrate relatively high levels of compliance.

Key results from 2025/26 include:

• 193 alleged breach notifications received, 60% more than 2024/25
• 144 cases assessed and closed, with appropriate enforcement action
• 106-day median case closure time, 29% faster than 2024/25
• 11 formal investigations opened and 4 complaints referred to the Rulings Panel.

Chief Executive Sarah Gillies said the report provides valuable insights into compliance across the electricity sector and helps participants understand the Authority's regulatory priorities.

"Strong compliance helps protect consumers, supports fair competition and maintains confidence in New Zealand's electricity system.

"While compliance activity increased during 2025/26, with the highest number of alleged breach notifications in the last five years, overall the electricity sector continues to demonstrate relatively high levels of compliance.

“The increase in reporting was driven largely by the Consumer Care Obligations coming into force in 2025 and retailer self-reporting as part of their annual compliance reporting obligation.

"Despite higher reporting volumes and increased enforcement activity, we continued to improve our processes and resolved compliance matters more quickly.

“Most participants consistently do the right thing, and many compliance matters are resolved promptly without the need for further action. But where there is greater potential harm, broader system impacts, repeat or serious non-compliance, we take appropriate enforcement action.

"This risk-based approach was reflected in our 2025/26 compliance activity, with increased investigations and enforcement action focused on higher-risk matters."

The report identifies six compliance focus areas the Authority will prioritise during 2026/27, because of their potential impact on consumers, market competition and system security:

• non-discrimination obligations
• Consumer Care Obligations
• prudential and settlement obligations
• protection setting requirements
• intermittent generation forecasting
• limitations on revised offers within gate closure.

In addition, the Authority will continue to proactively monitor eight areas to help identify emerging risks early and support compliance across the sector.

"This report helps participants identify and manage compliance risks and strengthen their compliance arrangements. We encourage participants to use the report and assess whether their systems, controls and governance arrangements support strong compliance outcomes.”