New Zealand Limited and its subsidiary Capital Properties (Wellington) Limited
The commission, pursuant to section 81 of the Electricity Industry Reform Act 1998, exempts Capital Properties
New Zealand Limited ("CPNZ") and its subsidiary
Capital Properties (Wellington) Limited ("CPW") from the application of section 17 of that Act in relation to prohibited cross-involvements in an electricity lines business and an electricity supply business.
The exemption is subject to the following terms and conditions:
(a) Neither CPNZ nor CPW will charge any tenant, for the use of or related to, any electricity lines business owned or operated by CPNZ or CPW;
(b) CPNZ and CPW will allow access to electricity lines owned by them or in their control, on reasonable terms and within a reasonable time, to any electricity supply business to enable such electricity supply business to supply electricity to any tenant of CPNZ or CPW connected to such lines;
(c) Neither CPNZ nor CPW will enforce any obligation, in any lease or other agreement with their tenants, that requires a tenant to obtain electricity from or through CPNZ or CPW to enable any tenant to obtain electricity from or through any electricity supplier;
(d) CPNZ and CPW will use their best endeavours
to provide such reasonable information that any tenant being supplied electricity by either CPNZ or
CPW may request, to enable that tenant to assess competitive options available to it for the supply of electricity; and
(e) Neither CPNZ nor CPW generates, or is interested in the generation of, electricity.
In addition, the commission, pursuant to section 81 of
the Electricity Industry Reform Act 1998, exempts from the applications of sections 17, 18 and 30 of the Electricity Industry Reform Act 1998 any business or involvement or interest in relation only to any future property investment and management activities that CPNZ and CPW might undertake, and in respect of which sections 17, 18 and/or
30 would apply.
The exemption to any business or involvement or interest in respect of any future property investment and management activities that CPNZ or CPW might undertake is given subject to the following terms and conditions being fully observed by the business or involvement or interest to which the exemption applies:
(a) The terms and conditions as set out above in relation to the exemption given to the cross-involved entities; and
(b) That CPNZ and/or CPW informs the commission
of the details of any future property investment and/or management activity, within 20 working days (as that term is defined in the Commerce Act 1986) from the day following the day it undertakes the activity, that is likely to breach the Electricity Industry Reform Act 1998 and for which CPNZ, CPW and/or any other persons are likely to rely on this exemption.
The commission may vary or revoke this exemption in accordance with section 81 (5) of the Electricity Industry Reform Act 1998.
The exemption takes effect from the date of publication of this notice in the New Zealand Gazette.