Electricity Commission backs changes

The Electricity Commission supports proposed changes that will lead to its demise.

Energy and Resources Minister Gerry Brownlee's review of the electricity sector recommended scrapping the commission, transferring some responsibilities to national grid company Transpower and the Commerce Commission, and setting up a new electricity market authority.

Electricity Commission chairman David Caygill said yesterday the commission lodged a submission late on Tuesday saying it welcomed the ministerial review. "We are in very large agreement with its recommendations," he said.

"In particular we support the idea that the new, or proposed, regulator ... should primarily focus on the regulation of the sector rather than have operational responsibilities. That is sound."

The submission did not specifically talk about the axing of the commission, he said. "We haven't gone into that. That is an implementation debate."

Submissions on the report closed on Wednesday, with the Government hoping to make decisions by the end of the year.

A spokesman for Brownlee said about 40 submissions and requests for extensions had been received.

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