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Special Allocations

From time to time errors are discovered in the consumption information or injection information that is submitted to to the allocation agent and consideration is given as to whether it is necessary to correct allocation results. The Gas (Downstream Reconciliation) Rules 2008 ('the Rules') allow for various types of corrections to be made:

  • Rule 44 sets out the processes for the notification of errors in consumption information submitted to the allocation agent and, where such errors would have resulted in a materially different allocation, allows the allocation agent to amend results (if time permits) or requires Gas Industry Co to consider whether to direct a special allocation. 
  • Rule 46A allows an annual UFG factor (AUFG) to be recalculated and republished if an error is discovered which Gas Industry Co considers may have, or have had, a sufficiently unfair impact on allocation results.
  • Rule 51 sets out when Gas Industry Co may require the allocation agent to perform a special allocation, either in addition to, or replacing, the allocation results from the previous allocation of gas quantities. 

Before Gas Industry Co is able to direct the allocation agent to perform either an AUFG correction or a special allocation, Gas Industry Co must consider the unfairness of the error. For an AUFG correction, Gas Industry Co must be of the opinion that the current AUFG may have, or have had, a sufficiently unfair impact on allocation results. For a special allocation, Gas Industry Co must be of the opinion that the current allocation information or allocation results are sufficiently unfair  and Gas Industry Co must balance the unfairness of the current allocation information or allocation results against any commercial reasons for retaining the current allocation results.

Consultations on AUFG corrections and special allocations assist Gas Industry Co in determining the unfairness of errors. Previous and current consultations can be found in this section.

Page last saved: February 14, 2019
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P 04 472 1800
A Gas Industry Co
Level 8, The Todd Building
95 Customhouse Quay
PO Box 10-646
Wellington 6143

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