Two traders at a Point of Connection [Closing date: 2007/06/15 17:00:00 GMT+12]

Some customers may generate electricity either as supplementary generation e.g. photovoltaics, wind, micro hydro etc, or as a by product of a process, e.g. co-generation. Where generation within a site exceeds consumption, electricity is injected from the site into a local or embedded network.

Currently Rule 6.6 of part H of the Electricity Governance Rules 2003 (Rules) states that where a generator purchases and sells electricity through the same point of connection that the generator must purchase and sell electricity from the same participant. There are methods that can allow purchases and sales at a point of connection to be separated into two or more participants through the reconciliation process using embedded networks, although this tend to be unwieldy for smaller sites.

The Commission seeks industry feedback as to whether there would be advantages to a rule change in allowing two traders at a point of connection (POC) on a local or embedded network. The consultation paper discusses the advantages and dis-advantages of currently available methodologies for settlement of two traders at a POC, and the advantages and dis-advantages of changing this rule.

• Consultation paper pdf [111 KB]

The results of this process will indicate if a rule change would assist the development and trading of embedded (also known as distributed) generation.  If it appears that a rule change might assist, a formal rule change consultation process would then be undertaken.

Submissions are sought on the paper by 5 pm on 15 June 2007. Comments should preferably be sent by e-mail, in Word format, to:

Jenny Walton
Electricity Commission
PO Box 10041
Wellington

Email: info@electricitycommission.govt.nz

Telephone: (04) 460 8858
Fax: (04) 460 8879

The Commission is required to undertake its functions with a high degree of transparency. Accordingly, please be aware that any information provided to the Commission may be discussed with, or provided to, other parties UNLESS you specify that information is provided to the Commission as “Commercial in Confidence”, in which case you should specify the information that is confidential and the reasons. You should also be aware that the Commission is subject to the Official Information Act 1982.