We're letting consumers in Wellington, the Hutt Valley and Porirua know that from 1 April 2023 our power lines charges are set to change. At an overall level they are decreasing by 6% but to understand how you may be impacted please read on.
The Electricity Authority has changed how it allocates transmission charges between consumer groups which has resulted in a number of changes to pricing on our networks.
We know that electricity pricing can be a little complex to understand. So how it works is we combine our charges (distribution charges) with Transpower’s transmission charges (the cost of running the National Grid) to make up lines charges (which usually account for around a third of your power bill). Electricity retailers then re-package our line charges with their own costs to make up your power bill.
What does that mean for you?
Lines charges for residential consumers will see on average a price decrease of 11%.
Residential consumers on low-use electricity plans will receive a smaller decrease than those on standard-use plans, as this pricing category is being gradually removed over the next four years in line with the Government’s phase-out of the low fixed tariff regulations.
Some commercial consumers will see price decreases this year, while others will see price increases. To reduce the impact of this, we’re capping the average price increase for these consumer categories at 10% this year and will continue to smooth the transition over the coming years until completed.
Our prices and quality standards are regulated under Part 4 of the Commerce Act, which is governed by the Commerce Commission.
For more information you can visit welectricity.co.nz/pricing