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Pricing review

After feedback from our customers, our Board announced in September 2016 that an independent review would be held regarding our current pricing methodology.

This review resulted in a recommendation that we should move to time-of-use (TOU) pricing. We then undertook more consultation with the community and in October 2017 we decided to move to TOU pricing from late 2018 onwards.

Key milestones

August 2016

On 16 August 2016 The Electricity Authority announced a Market Performance Review of The Lines Company. TLC welcomed this review. Below are some useful links about the Electricity Authority Review and the purpose of it.

September 2016

On 6 September 2016 the TLC Board launched an independent review of the service-based pricing approach that is currently in place. Two high profile experts from the energy industry were chosen to lead the review: former chief executive of Orion (Christchurch’s lines company), Roger Sutton, and the leader of PwC’s Energy Markets Sector Group, Lynne Taylor.

Mr Sutton was later appointed to The Lines Company Board in September 2017.

March 2017

Our service-based pricing review was released which recommended exploring an alternative pricing methodology (to TOU). The independent report with accompanying Board overview statement is available to view below.

April/May 2017

Customer focus groups were held in Otorohanga, Te Kuiti, Turangi, Ohakune, Mangakino and Taumarunui and were attended by 130 people. The purpose was to discuss the service-based pricing review report which came out in March and to obtain feedback on the recommendation to move to TOU pricing.

August 2017

A time of use trial (TOU) of 200 customers began as part of our pricing review and will run until March 2018. This enables us to test our systems and processes, and gather customer feedback on communications.

September 2017

Customer focus groups were held in Otorohanga, Te Kuiti, Turangi, Ohakune, Mangakino and Taumarunui. These were to provide an update on what TOU could look like and get feedback from our community.

October 2017

Our Board confirmed TLC will move to TOU pricing in 2018. The decision on when in 2018 this change will happen will be announced following the December Board meeting.

December 2017

Our Board confirmed that TOU pricing will ‘go-live’ on 1 October 2018.