The response and analysis of the submissions document published on 29 January 2010 foreshadowed the publication of a full proposed design for the oversight of the voluntary implementation of retail contract benchmarks. The design consultation document can be viewed below.
Following an industry workshop and discussion with other interested stakeholders, the design was finalised and presented to the Associate Minister of Energy and Resources for consideration of endorsement. Implementation is expected to be no later than mid 2010.
Building on previous work on model contract guidelines and work done in conjunction with the Electricity Commission and the Electricity & Gas Complaints Commission, this paper presented a set of benchmark, or minimum, contract terms for governing domestic and small consumer gas supply arrangements. The two options are: voluntary adoption of the benchmark terms, or regulated implementation of the minimum terms.
This discussion paper was a review of the approach to dealing with consumer issues in selected overseas jurisdictions and in New Zealand, and provided an account of the work to date by Gas Industry Co in this area. It adopted a principles-based approach to future work needs by establishing a set of consumer expectations, and analysing the shortfalls in meeting those expectations through current industry practice and gas governance arrangements. The analysis was based on a defined policy framework. The discussion paper set out conclusions on meeting these unsatisfied needs, and the extent to which the required work fell within the mandate of Gas Industry Co to action. The discussion paper particularly addressed the need for work on retail contractual terms and conditions. The discussion paper was released in both short (summary) and full form.
The purpose of this consultation paper was to seek input from stakeholders on the Model Contracts Working Group’s draft model contract guidelines, the options for giving effect to the guidelines from a governance and compliance perspective, and Gas Industry Co’s recommended option.