Electricity Authority flags cost-shifting in lines companies’ connection charges

Electricity Authority flags cost-shifting in lines companies’ connection charges
The Electricity Authority says some lines companies may be setting excessively high up-front fees. (Image: NZME)
Ian Llewellyn
Further reform of connection charges is possible after the Electricity Authority said evidence suggests some lines companies may be setting excessively high up-front fees that shift network costs onto new customers.The authority says this pushes more of the cost onto new applicants while easing pressure on existing customers’ line charges and supporting dividends for shareholders.The consultation paper points to pricing methodologies that load a disproportionate share of growth-related network costs onto applicants seeking to connect, a p...

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