Press release

Have your say: next steps to improve pricing rules for connecting to electricity networks

The Electricity Authority Te Mana Hiko (Authority) is seeking feedback on the next stage of its work to improve pricing rules for connecting to local electricity networks.

The Authority’s distribution connection pricing reform project, aims to ensure the rules around connection charges are more efficient, transparent and consistent across the country.

“The new rules we've put in place this year don’t just make it easier for new customers to connect – they benefit everyone who uses the network,” says Authority General Manager Networks and System Change Tim Sparks.

“They reduce barriers to connecting, which can enable more businesses, EV charging stations and new housing developments to connect. This helps to spread shared network costs over a larger number of people,” Sparks says. “Efficient connection charges also encourage lines companies to plan better for how their networks grow so investment isn’t held back or overbuilt.”

The issues paper released today seeks feedback on the next stage of the Authority's connection pricing reform. This includes what further steps are needed to build on recent reforms to make connection charges more cost-reflective and free from subsides across a broader range of connection types. The issues covered in the paper include:

  • the allocation of some costs, eg, contributions to network development
  • pricing methodologies for various one-off charges, eg, for disconnection
  • areas currently not covered by existing connection pricing rules, eg, secondary networks and real estate developments
  • other related issues, eg, contestability of third-party services for connecting to a network.

“Until recently, there have been few rules on how lines companies develop and structure their connection charges. This has led to wide variation between regions and created barriers for getting connected.

“Our on-going work to reform connection pricing methodologies aims to change that, and ensure that ultimately, the rules support good outcomes for New Zealanders.”

In April, a set of rules came into effect giving people wanting to connect a clearer understanding of how much they’ll pay and what their connection charges cover. The new rules will also ensure they’re not paying for extra features they didn’t ask for. Next month, a new framework will come into force to prevent inefficiently high up-front connection charges from rising further than needed. This is intended as an interim measure while the Authority considers a more enduring and comprehensive solution, which is also explored in the issues paper.

The Authority welcomes feedback on the paper and any related issues for the next phase of this work.

Submissions are due on 24 August 2026, followed by a three-week cross-submission period.

Read the consultation webpage for more information.

Join our webinar this morning for an overview of the issues we’re considering.

What: Distribution connection pricing further reform webinar
When: 10–10.45am, Monday 13 July 2026

Learn more and register for the webinar

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