1. Pursuant to section 172I of the Electricity Act
1992, I notify the amendment of the Electricity Governance Rules (“EGRs”) 2003 under section 172H of the Electricity Act 1992.
2. The empowering provision for the electricity governance regulations in relation to which the EGRs is made is section 172D (1) (1) (b) of the Electricity Act 1992.
3. A brief description of the nature of the amendments are as follows:
(a) Amend Rules 4.3 and 4.3.1 of Schedule G7 of
Part G of the EGRs, to support compliance with guidelines on forward estimate audits;
(b) The following defined terms are inserted into Part A of the EGRs:
? “historical estimate”;
? “forward estimate”;
? “initial file”; and
? “revised file”.
(c) Consequential amendments to Rules 2.4, 4.2, 4.2.1, 4.2.2 and 4.4 of Schedule G7 of Part G and Rule 2.2 of Appendix 1 of the Code of Practice G2 of Schedule G8 of Part G to reflect the new defined terms.
4. The amendments are made in reliance on section 172F (3) of the Electricity Act 1992.
5. Pursuant to section 172Z (4) of the Electricity Act 1992, the reasons for my decision to amend the EGRs are that:
? due to the fact that the rules relating to forward estimate audits do not prescribe a methodology for such audits, these amendments are necessary to achieve a standard approach to forward estimate audits;
? the use of the guidelines encourages consistency in carrying out forward estimate audits, which aids the market administrator; and
? the rule changes do not impose substantial new obligations on participants.
6. These rules come into force on 31 March 2005.
7. Copies of the EGRs may be inspected free of charge
or purchased from the Electricity Commission, Level Seven, ASB Bank Tower, 2 Hunter Street, Wellington.
The EGRs can also be viewed on the Electricity Commission web site:
http://www.electricitycommission.govt.nz/rulesandregs/rulechanges
Dated at Wellington this 25th day of February 2005.
TREVOR MALLARD, Minister of Energy.