Index

• Model arrangements for electricity distribution services
• Model contracts for domestic consumers
• Archive

Model arrangements for electricity distribution services

Under paragraph 103 of the Government Policy Statement on Electricity Governance May 2009 the Commission is charged with ensuring reasonable terms and conditions for the use of system agreements, taking into account the interests of consumers, retailers and distributors.

However if the Commission thinks it is necessary and beneficial, it may also recommend regulations.

The 2004, 2006 and the 2008 versions of the GPS had similar requirements to the above.

Model Use of System Agreement (MUoSA) Interposed

The MUoSA Interposed is a document that sets out model distribution arrangements between the retailer and the distributor.  It covers commitments, payment obligations, operational requirements, and the rights of each party.  This model contract presumes that the relationship with the consumer is through the retailer.

The MUoSA interposed was published in March 2006 for information, with the understanding that in the future it would need to be aligned with the Transmission Benchmark Agreement.  Until that alignment exercise was undertaken, retailers and distributors did not need to adopt the MUoSA Interposed.

• Model Use of System Agreement Interposed updated 30 March 2006  pdf [474 KB]

The alignment exercise has now taken place, and an updated draft MUoSA Interposed agreement is currently out for further consultation.

Once finalised, the Commission would expect retailers and distributors to adopt the MUoSA Interposed agreement.  Monitoring will then be undertaken tempered with the recognition of existing commercial arrangements already in place between distributors and retailers.  If it is felt necessary for the best interest of consumers and economic efficiency, the Commission has the ability to recommend rules or regulations to the Minister of Energy in relation to the MUoSA.

MUoSA Conveyance

The MUoSA Conveyance is also a document that sets out model distribution arrangements between the retailer and the distributor.  It covers commitments, payment obligations, operational requirements, and the rights of each party, but the MUoSA Conveyance presumes that two relationships are held with the consumer: one contract between the consumer and the distributor for distribution services, and another contract between the consumer and the retailer for retail services.

The Model Distribution Arrangements Review Panel did not reach consensus on the form and content of the model conveyance agreement.  The MUoSA Conveyance is therefore published for information only.  Further, the Commission has no immediate plans to update the MUoSA Conveyance to align it with the Transmission Benchmark Agreement or to reflect the recent changes in policy that have been incorporated into the MUoSA Interposed at this time. 

• Model Use of System Conveyance Agreement updated 30 March 2006 pdf [259 KB]

Model contracts for domestic consumers (MDC)

The Government Policy Statement on Electricity Governance paragraph 38 requires that the Electricity Commission develop model arrangements between domestic electricity consumers and retailers (and distributors where appropriate), and in paragraph 112, arrangements for distributed generation.

A full package of Model Domestic Contracts (MDC) was published in February 2005. This included:

• Domestic Consumer Contracts and Distributed Generation.pdf [2731 KB]: Guidelines and Model Contracts  [all documents combined – excepted marked up versions]

The February 2005 document is available below as its separate parts of follows:

• Introduction/covering document.pdf [50 KB]
• Appendix A1: Guidelines for Domestic Contracts for Delivered Electricity (Interposed).pdf [39 KB] (Note: an updated version is currently out for consultation)
  
• Appendix A2: Model Domestic Contract for Delivered Electricity (Interposed).pdf [497 KB] (Note: an updated version is currently out for consultation)
• Appendix B1: Guidelines for Domestic Contracts for Delivery Only.pdf [34 KB]
• Appendix B2: Model Domestic Contract for Delivery Only.pdf [445 KB]
• Appendix C1: Guidelines for Domestic Contract for Electricity Only.pdf [39 KB]
• Appendix C2: Model Domestic Contract for Electricity Only.pdf [455 KB] and
• Appendix D: Distributed Generation Guidelines.pdf [14 KB]

At the time of publication it was made clear that the contracts would not be finalised until alignment with the Transmission Benchmark Agreement had taken place.  For some of the documents, the alignment exercise has taken place, along with the addition of updating the contracts to reflect changes in policy. 

The updated MDC documents are the interposed agreements, which presume that the retailer will have the relationship for both distribution services and retail services with the consumer.   See the consultation paper on proposed changes to Interposed Model Contracts.

Once finalised, the Commission would expect retailers to implement the MDC Guidelines.  In particular, interposed domestic consumer contracts should:

• contain provisions consistent with the MDC Guidelines; and
• not contain any provisions inconsistent with the MDC Guidelines.
  

The MDC interposed contract is an example of how the MDC Guidelines could be implemented.  If retailers do not adopt the MDC Guidelines appropriately, the Commission has the ability to recommend rules or regulations to the Minister of Energy in relation to the MDC.

Word versions of the model contracts are available by contacting retailoperations@electricitycommission.govt.nz