Foreword
The Government established the Electricity Commission in 2003 with the principal objectives of ensuring that electricity is produced and delivered to all classes of consumers in an efficient, fair, reliable and environmentally sustainable manner and promoting and facilitating the efficient use of electricity.
More recently the Government has developed the New Zealand Energy Strategy (NZES) and the New Zealand Energy Efficiency and Conservation Strategy (NZEECS).
The NZES is an important part of a package of initiatives that the Government is introducing to advance sustainability and economic transformation, and to help New Zealand respond to climate change. It sets out the Government's vision for a reliable and resilient energy system delivering New Zealand sustainable, low emissions energy services.
The Commission has a critical role to play in taking the strategy from vision to action. It is therefore timely to review the Government Policy Statement on Electricity Governance to reflect developments over the past four years and in particular, the NZES.
A range of other factors, for which the Commission does not have accountability, will impact on the electricity sector through time. These include:
- The Economic Transformation Agenda1
- Climate change policy2
- Framework for an Emissions Trading Scheme3
- National Policy Statements and National Environmental Standards under the Resource Management Act 1991;
- Sustainable Development for New Zealand Programme of Action4 and
- Policy and regulatory settings for the gas sector, including the Government Policy Statement on Gas Governance5 and measures to encourage petroleum exploration.
The Government expects the Commission to take these into account and contribute as appropriate to the Government's wider policy objectives.
The Electricity Act 1992 (s172N) sets the principal objectives for the Electricity Commission and the specific outcomes that the Commission must seek to achieve. An extract of s172N is attached as an appendix to the GPS.
This Government Policy Statement sets out the objectives and outcomes the Government wants the Commission to give effect to. It is made pursuant to s172ZK of the Electricity Act 1992 and replaces all previous Government Policy Statements on Electricity Governance. For the avoidance of doubt, the Government Policy Statement does not include the Foreword.
Hon David Parker
Minister of Energy
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