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• Competition Policy

• Commerce Act Pts 4/4A/5 Review

• Regulatory Control Provisions

• Commerce Amendment Act 2008
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• Terms of Reference

The overarching objective, in reviewing the regulatory control provisions of the Commerce Act, is to ensure that the imposition of regulatory control is consistent with providing for the long-term benefit of consumers within New Zealand.

Consistent with this objective, the Review will consider whether any amendments to the Act are desirable to reinforce the Government's policy objectives on investment in infrastructure.

The Review will look to ensure:

1. There is clarity around the policy intent of imposing control.
2. There is appropriate guidance for business and regulators on when control is likely to be imposed.
3. There is appropriate guidance for business and regulators on how regulatory control should be imposed.
4. There are effective and efficient processes to determine when and how control is imposed.

It is desirable that the legislation is clear regarding the policy intent of regulatory control, and on when and how regulatory control will be imposed in practice. Clarity assists both the Commission (in providing advice on when control should be imposed and when making an authorisation to control) and the Minister (in making a decision under Part 4 on whether to impose control), in addition to providing guidance to consumers and suppliers.

Specific matters that the Review will examine include (but are not limited to):

• what is the purpose of imposing control;
• in what circumstances should control be imposed;
• should large electricity lines businesses continue to be subject to targeted control (as distinct from universal control);
• if targeted control is appropriate, what enhancements should be made to the present regime;
• what is the appropriate threshold for when control should be introduced;
• what is the appropriate guidance on how control should be imposed (including the form, level, and duration of control and applicable methodologies);
• is the current process of deciding whether to impose control (Parts 4 and 4A) and then how to impose control (Part 5) in two distinct steps appropriate;
• what level of consultation is appropriate in deciding whether and how to impose control;
• does the Act provide sufficient discretion for the Commission to advise on all matters it considers desirable; and
• what appeal rights are appropriate in respect of decisions on when and how control is imposed.