TPM proposal to the Electricity Authority

The Authority is currently consulting on a proposed new Transmission Pricing Methodology (TPM). The consultation began 8 October 2021. Submissions were due 2 December 2021 and there is now a further three weeks for cross-submissions.

On 30 June 2021, we delivered a proposed new TPM in accordance with new guidelines developed by the Authority and the Electricity Industry Participation Code 2010. The Authority accepted the vast majority of our proposal, but made some specific, targeted changes. Our 2 December, we submitted our response to the Authority's consultation paper on a proposed new TPM. You can read it on our Regulatory Submissions page.

Most TPM-related questions can be referred to the Electricity Authority.
 

Prior to the Authority's consultation, we updated several of our proposal documents as requested by the Authority:

Supporting Information for APP B Covered Costs Model [ xlsx 557.18 KB ]

Supporting Information for APP B Indicative Pricing Model [ xlsx 1.53 MB ]

Supporting Information for APP B Indicative Pricing Stakeholder Information [ xlsx 562.81 KB ]

Supporting Information for APP B Simple BBI customer and regional allocations [ xlsx 433.66 KB ]

Appendix B of our TPM Proposal Reasons Paper [ pdf 1.25 MB ]
 

See below for our original 30 June 2021 TPM proposal and aspects we resubmitted on the Authority's request.


Our 30 June 2021 TPM proposal to the Electricity Authority

  1. Letter from Transpower to the Authority TPM Full Proposal
  2. Proposed TPM (legal drafting)
  3. Proposed TPM 30 June 2021 compared TPM Preliminary Drafting 3 May 2021 [ docx 3.1 MB ]
  4. TPM Proposal Reasons Paper 30 June 2021
  5. Supporting Information for APP B Covered Costs Model [ xlsx 556.79 KB ]
  6. Supporting Information for APP B Indicative Pricing Model [ xlsx 1.46 MB ]
  7. Supporting Information for APP B Indicative Pricing Stakeholder Information [ xlsx 183.84 KB ]
  8. Supporting Information for APP B Simple BBI customer and regional allocations [ xlsx 362.74 KB ]
  9. Supporting Information for APP E and D CUWLP Data Processing Guide
  10. Supporting Information for APP E and D CUWLP allocation processing [ xlsx 324.14 KB ]
  11. Supporting Information for APP E and D WUNIVM individual customer allocations and indicative prices [ xlsx 41.52 KB ]
  12. Supporting Information for APP F TPM Adjustments and PDP Worked Example Spreadsheet [ xlsx 416.7 KB ]
  13. Assurance Chapman Tripp
  14. Assurance Deloitte
  15. Assurance Ernst Young
  16. Assurance KPMG

 

Part one refer back proposal - non-Benefit Based Charge (BBC) aspects

We received a letter from the Authority (28 July), where it referred non-BBC aspects of the TPM proposal back to us for further consideration. On 25 August we resubmitted on these:

  1. Refer back letter from Electricity Authority to Transpower (part one - non-BBC)
  2. Transpower letter to the Electricity Authority re non-BBC TPM proposal referral [ pdf 173.06 KB ]
  3. Part 1 resubmitted proposed TPM (clean) [ pdf 2.54 MB ]
  4. Part 1 resubmitted proposed TPM (changes tracked with comments) [ pdf 2.32 MB ]
  5. TPM proposal refer back part 1 response [ pdf 1.13 MB ]
  6. TPM proposal refer back part 1 assurance letter [ pdf 150.83 KB ]

 

Part two refer back proposal - Benefit Based Charge (BBC) aspects

We received a letter from the Authority (18 August), where it referred BBC aspects of the TPM proposal back to us for further consideration. On 15 September we resubmitted on these:

  1. Refer back letter from Electricity Authority to Transpower (part two - BBC) [ pdf 148.67 KB ] 
  2. Transpower letter to the Electricity Authority re BBC TPM proposal referral [ pdf 186.82 KB ]
  3. Part 2 resubmitted proposed TPM (clean) [ pdf 2.6 MB ]
  4. Part 2 resubmitted proposed TPM (changes tracked with comments) [ pdf 2.42 MB ]
  5. TPM proposal refer back part 2 response [ pdf 1020.39 KB ]
  6. TPM proposal refer back part 2 assurance letter Chapman Tripp [ pdf 152.21 KB ]
  7. TPM proposal refer back part 2 assurance letter Ernst Young [ pdf 115.69 KB ]
  8. TPM proposal refer back part 2 assurance letter KPMG [ pdf 156.48 KB ]
  9. Supporting Information for APP A to this response - clause 52 and 53 methods [ xlsx 1.52 MB ]
  10. Supporting information for APP D - Addendum to CUWLP case study [ pdf 484.42 KB ]
  11. Supporting information for APP D - EY assurance memo [ pdf 70.79 KB ]
  12. Supporting information for APP D - Allocation processing outputs with addendum [ xlsx 411.45 KB ]
  13. Supporting information for APP F - Adjustments and Prudent Discount Policy [ pdf 1.49 MB ]
  14. Supporting information for APP F - Adjustments and Prudent Discount Policy worked examples [ xlsx 420.68 KB ]

 

Next steps

The Authority may make further changes to the proposed TPM. It aims for a new TPM to take effect for prices from 1 April 2023. You can view the Authority's TPM webpages here. Look out for the Authority's Market Brief for further information.