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Consultation on three special allocations - December 2015

This consultation considers whether Gas Industry Co should direct the Allocation Agent to perform special allocations pursuant to rule 51 of the Gas (Downstream Reconciliation) Rules 2008, following three separate notifications by the Allocation Agent that material errors have occurred.

This consultation considered three separate material errors that impacted six consumption periods. Shortly after the consultation period began, a further error was identified and added to the consultation, affecting one more consumption period. The consultation informed Gas Industry Co’s determination to direct the Allocation Agent to perform special allocations under the Gas (Downstream Reconciliation) Rules 2008.

The errors and outcomes are as follows:

  • A late notification by Genesis Energy of updated transmission contract information for an ICP, resulting in an allocation of gas to the incorrect contract ID for that retailer for the October 2015 consumption period; (a special allocation was not directed as the request relating to this error was revoked)
  • An error in the allocation system that allowed volumes associated with rejected submission files to be included in allocations for the June 2014, March 2015 and April 2015consumption periods, resulting in a misallocation of gas to several retailers for those months; (special allocations were directed for June 2014 and March 2015 but not for April 2015)
  • A late notification by Vector Gas Trading Limited of updated transmission contract information, resulting in the allocation system treating interim submissions as an addition to, rather than a replacement of, initial submissions, and thus significantly over-allocating volumes to that shipper’s retailer codes for the July 2015 consumption period; (a special allocation was directed to correct this error) and
  • An over submission of non TOU volumes for the November 2015 initial allocation, by Pulse Energy, impacting multiple gas gates (a special allocation was directed to correct this error)
Page last saved: December 21, 2015
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A Gas Industry Co
Level 8, The Todd Building
95 Customhouse Quay
PO Box 10-646
Wellington 6143

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