Distributed Generation

Distributed generation (aka embedded generation) is generation that is electrically connected to a local network (e.g. Vector Limited's network) or an embedded network (e.g. a shopping mall), but is not directly connected to the national grid (i.e. Transpower's network).

The Electricity Governance (Connection of Distributed Generation) Regulations 2007 (DGRs) became effective 30 August 2007. The general purpose of the DGRs is to "enable connection of distributed generation where connection is consistent with connection and operation standards". The DGRs mandate the application and approval process between the prospective generator and the distributor (i.e. the network operator). The DGRs also provide default terms of connection, dispute resolution processes and pricing principles, though all these can be contracted out of by mutual agreement of the parties. The Commission has prepared an information paper detailing the high-level obligations of generators and distributors.

• Information paper: The obligations of distributors and generators under the Distibuted Generation Regulations pdf [144 KB]

One of the specific obligations on distributors is annual reporting of statistics pertaining to connections under the DGRs.

• Distributed Generation Annual Statistics
  

The Commission has prepared an Excel form for distributors to use to assist them in the complete reporting of those statistics, and assisting the Commission in the handling of those statistics.

• Distributed Generation - Distributor Annual Reporting Form xls [106 KB]

The Commission wrote to registered distributors on 30 March 2009 to highlight some options for sourcing date information that has been problematic for distributors.

• Letter to distributors - 30 March 2009 pdf [257 KB]

The Commission is responsible for the administration of the DGRs. This administrative role includes monitoring compliance with the DGRs and, where appropriate, taking enforcement action. The Commission has, in some circumstances, a role in dispute resolution between generators and distributors.

Please note that embedded generation is defined within the Electricity Governance Rules 2003 (Rules), and that embedded generators have obligations to be aware of under the Rules and also the Electricity Governance Regulations 2003. A high-level explanation of the key responsibilities can be found in the information papers section under the Wholesale heading:

• Information papers