Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698943701465.pdf (New Zealand)
Reprint as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 (SR 2008/252) Rt Hon Dame Sian Elias, Administrator of the Government Order in Council At Wellington this 11th day of August 2008 Present: Her Excellency the Administrator of the Government in Council Pursuant to subpart 2 of Part 14 of the Electricity Act 1992, Her Ex­ cellency the Administrator of the Government, acting on the advice and with the consent of the Executive Council and on the recommen­ dation of the Minister of Energy, makes the following regulations.
Note Changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in this reprint.

A general outline of these changes is set out in the notes at the end of this reprint, together with other explanatory material about this reprint.

These regulations are administered by the Ministry of Economic Development.
1 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 Contents Title Commencement Purpose Interpretation Part 1 Planning for shortage of supply situations Subpart 1—Commission’s security of supply outage plan Commission must prepare and publish security of supply outage plan Contents of security of supply outage plan Process for preparing security of supply outage plan Amendments and substitutions of security of supply outage plans Subpart 2—Participant outage plans Commission must require speciﬁed participants to develop participant outage plans Speciﬁed participants must develop participant outage plans Contents of participant outage plans Approval of participant outage plans Revision of participant outage plans Approval of revised participant outage plans Publishing of participant outage plans Speciﬁed participants must keep participant outage plans up to date Part 2 Outages in shortage of supply situation Supply shortage declaration Power to direct outages in security of supply situation Speciﬁed participants must comply with direction Offence to fail to comply with Commission direction [Revoked] Revocation of supply shortage declaration Part 3 Miscellaneous Provision of information Offence to fail to provide information Page 8A 8B 8C 8D 8E 8F 8G 8H Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 16 Application of Rulings Panel procedures r 4 13 1 2 3 4 (1) Regulations Title These regulations are the Electricity Governance (Security of Supply) Regulations 2008.
Commencement These regulations come into force on the 28th day after the date of their notiﬁcation in the Gazette.

Purpose The purpose of these regulations is to provide for the manage­ ment and co­ordination of outages for security of electricity supply purposes.
Interpretation In these regulations, unless the context otherwise requires,— Act means the Electricity Act 1992 Commission means the Electricity Commission continued under subpart 1 of Part 15 of the Act participant outage plan means a plan developed by a speci­ ﬁed participant under subpart 2 of Part 1 publish, in relation to a document, means— (a) to make the document available to the public, at no cost, on an Internet site maintained by or on behalf of the Commission, at all reasonable times; and to give notice in the Gazette of the document, of the fact that it is available on the Internet at no cost, and of the Internet site address (b) rules means the Electricity Governance Rules made by the Minister of Energy under section 172H of the Act by notice published in the Gazette, as may be amended from time to time security of supply outage plan means a plan prepared by the Commission under subpart 1 of Part 1 3 Part 1 r 5 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 speciﬁed participant— (a) means any of the following (within the meaning of sec­ an electricity distributor: an electricity retailer: a line owner; and tion 2(1) of the Act): (i) (ii) (iii) includes a person who uses electricity that is conveyed to the person directly from the grid (b) supply shortage declaration means a declaration made under regulation 9 wholesale market means the wholesale market for electricity.
(2) Any term that is deﬁned in the rules and used, but not deﬁned, in these regulations has the same meaning as in the rules.

(3) Any term that is deﬁned in the Act and used in these regula­ tions, but not deﬁned in these regulations or the rules, has the same meaning as in the Act.

Regulation 4(1) participant outage plan: inserted, on 9 April 2009, by regula­ tion 4(1) of the Electricity Governance (Security of Supply) Amendment Regu­ lations 2009 (SR 2009/40).
Regulation 4(1) security of supply outage plan: amended, on 9 April 2009, by regulation 4(2) of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Part 1 Planning for shortage of supply situations Subpart 1—Commission’s security of supply outage plan Subpart 1 heading: inserted, on 9 April 2009, by regulation 5 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
Commission must prepare and publish security of supply outage plan The Commission must prepare and publish a security of supply outage plan.
Contents of security of supply outage plan A security of supply outage plan must— 5 6 4 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Part 1 r 7 (a) (c) (b) (d) describe events that the Commission predicts will be likely to give rise to the need to make a supply shortage declaration; and set out thresholds that the Commission will apply in de­ ciding whether to make a supply shortage declaration; and specify how the Commission intends to determine what directions to give to address the shortage of electricity supply or transmission capacity that gives rise to the declaration; and identify speciﬁed participants, or a class or classes of speciﬁed participants, who are required to develop par­ ticipant outage plans under subpart 2; and specify criteria, methodologies, and principles to be ap­ plied in implementing outages, or taking any other ac­ tion, to be provided for in participant outage plans; and specify criteria, methodologies, and principles to be ap­ plied by any speciﬁed participant who does not have an approved participant outage plan in implementing out­ ages, or taking any other action, in accordance with di­ rections given by the Commission under regulation 10.
Regulation 6(d): substituted, on 9 April 2009, by regulation 6 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

(e) (f) Regulation 6(e): added, on 9 April 2009, by regulation 6 of the Electricity Gov­ ernance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Regulation 6(f): added, on 9 April 2009, by regulation 6 of the Electricity Gov­ ernance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
7 (1) (2) (b) Process for preparing security of supply outage plan The Commission must not publish a security of supply outage plan unless the Commission has— (a) prepared and published a draft security of supply outage plan; and consulted with persons that the Commission thinks are representative of the interests of persons likely to be substantially affected by the draft plan; and (c) considered submissions made on the draft plan.
Subclause (1) does not apply if the Commission considers that it is necessary or desirable in the public interest that the pro­ posed security of supply outage plan be published urgently, 5 Part 1 r 8 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 and, in this case, the security of supply outage plan, and the notice in the Gazette that is part of the publishing of the plan, must state that the plan is published in reliance on this sub­ clause and then, within 6 months of the plan being published, the Commission must— (a) (b) comply with subclause (1); and decide whether or not the plan should be amended or revoked and a new plan substituted; and no later than 10 working days after making that deci­ sion, publish the decision; and if the Commission decides that the plan should be amended or revoked and a new plan substituted, comply with regulation 8 in relation to the proposed amendment or revocation and substitution.
(c) (d) To avoid doubt, a security of supply outage plan is not in­ valid only because the Commission did all or any of the things referred to in subclause (1) before this regulation came into force.

Amendments and substitutions of security of supply outage plans The Commission may— (a) (b) amend a security of supply outage plan; or revoke a security of supply outage plan and substitute a new plan.
These regulations (including regulation 7) apply to an amend­ ment to a plan or a substitute plan— (a) as if the amendment or substitute plan were the original plan; and (b) with other necessary modiﬁcations.

Subpart 2—Participant outage plans Subpart 2: inserted, on 9 April 2009, by regulation 7 of the Electricity Govern­ ance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
(3) 8 (1) (2) 6 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Part 1 r 8C 8A Commission must require speciﬁed participants to (1) (2) (3) 8B (1) (2) develop participant outage plans This regulation applies when a speciﬁed participant is identi­ ﬁed under a security of supply outage plan as being required to develop a participant outage plan.
The Commission must send notice in writing to that speciﬁed participant of that requirement, including— (a) specifying the requirements that the participant outage plan must comply with under these regulations and the security of supply outage plan; and specifying a date by which the speciﬁed participant must submit that plan to the Commission.

(b) The Commission must send the notice under subclause (2) as soon as practicable after the Commission publishes its security of supply outage plan.
Regulation 8A: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Speciﬁed participants must develop participant outage plans Each speciﬁed participant who receives a notice under regula­ tion 8A must develop its participant outage plan in accordance with the notice.

The speciﬁed participant must submit the plan to the Commis­ sion by the date speciﬁed under regulation 8A(2)(b).
Regulation 8B: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
8C Contents of participant outage plans (1) Each participant outage plan must— (a) (b) (c) be consistent with the security of supply outage plan; and comply with the requirements speciﬁed in the notice sent under regulation 8A(2)(a); and specify the actions that the speciﬁed participant will take to achieve, or contribute to achieving, reductions in the consumption of electricity (including any target level of reduction of consumption of electricity in ac­ cordance with criteria, methodologies, and principles 7 Part 1 r 8D Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 speciﬁed in the security of supply outage plan) to com­ ply with a direction from the Commission given under regulation 10.
(2) This regulation does not limit regulation 8A(2)(a).

Regulation 8C: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

8D Approval of participant outage plans (1) approve it; or decline to approve it.
The Commission must, as soon as practicable after receiving a participant outage plan, by notice in writing to the speciﬁed participant who submitted the plan,— (a) (b) The Commission may decline to approve the plan only if the Commission is not satisﬁed that the plan complies with regu­ lation 8C.

Regulation 8D: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
(2) 8E Revision of participant outage plans If the Commission declines to approve a participant outage plan,— (a) the Commission must— (i) indicate the grounds on which it declines to ap­ prove the plan; and direct the speciﬁed participant to submit a revised plan; and (ii) (b) the speciﬁed participant must submit a revised plan to the Commission no later than— (i) 15 working days after the date on which the spe­ ciﬁed participant received the direction from the Commission to submit a revised plan; or any later date that the Commission may allow in any particular case.
(ii) Regulation 8E: inserted, on 9 April 2009, by regulation 7 of the Electricity Gov­ ernance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
8 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Part 1 r 8H Approval of revised participant outage plans 8F (1) As soon as practicable after receiving a revised participant out­ age plan, the Commission must, by notice in writing to the speciﬁed participant who submitted the plan,— (a) (b) If the Commission declines to approve the revised plan, regu­ lation 8E applies.
Regulation 8F: inserted, on 9 April 2009, by regulation 7 of the Electricity Gov­ ernance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

approve the plan; or decline to approve it.

(2) 8G Publishing of participant outage plans A speciﬁed participant must make its participant outage plan available to the public, at no cost, on an Internet site main­ tained by or on behalf of the speciﬁed participant, at all rea­ sonable times, as soon as practicable after it is approved by the Commission.
Regulation 8G: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
8H Speciﬁed participants must keep participant outage plans (1) up to date Each speciﬁed participant who has had a participant outage plan approved under this subpart must— (a) keep the plan under review, and (if necessary) amend the plan to take account of any change of circumstances and to ensure that the plan continues to comply with regulation 8C; and as soon as practicable after amending the plan, but in any case no later than 20 working days after amending it, submit the plan to the Commission.
(b) (2) Despite subclause (1), not later than 2 years after the date on which a speciﬁed participant’s participant outage plan was last approved, the speciﬁed participant must resubmit the plan to the Commission for approval.
(3) A plan submitted to the Commission under subclause (1)(b) is deemed to be approved by the Commission unless, no later than 20 working days after the day on which the Commission receives the plan, the Commission advises the speciﬁed par­ 9 Part 2 r 9 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 (4) 9 (1) (2) ticipant who submitted the plan, by notice in writing, that it declines to approve the plan.
Regulations 8D to 8G apply to a plan that is submitted or re­ submitted or declined under this regulation, except as provided in subclause (3).

Regulation 8H: inserted, on 9 April 2009, by regulation 7 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Part 2 Outages in shortage of supply situation Supply shortage declaration The Commission may, after consultation with the system op­ erator, make a supply shortage declaration.
The Commission may make a supply shortage declaration only if there is a shortage of electricity supply or transmission cap­ acity such that the Commission considers— (a) that the normal operation of the wholesale market is, or will soon be, unlikely to facilitate the adjustment of sup­ ply and demand necessary to ensure that supply matches demand; and that, if planned outages are not implemented, unplanned outages are likely.
(b) (3) A declaration applies to— (4) (5) 10 (1) all of New Zealand; or the regions speciﬁed in the declaration.

(a) (b) In making a declaration under subclause (1), the Commission must have regard to its security of supply outage plan.

The Commission must publish the declaration as soon as prac­ ticable after it is made.
Power to direct outages in security of supply situation The Commission may, at any time in the period during which a supply shortage declaration is in force, direct speciﬁed partici­ pants to contribute to achieving reductions in the consumption of electricity by implementing outages or taking any other ac­ tion speciﬁed in the direction.
(2) A direction must— 10 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Part 2 r 11 (a) (b) (c) be consistent with the Commission’s security of supply outage plan; and be given only after consultation with the system oper­ ator; and if the direction requires a speciﬁed participant to imple­ ment outages, specify the savings targets that the speci­ ﬁed participant must achieve.
(2A) A direction may be communicated through the information (3) (4) (5) 11 (1) (2) (3) (4) system operated by the system operator.

The Commission must publish a direction as soon as practic­ able after it is given.

The Commission may— (a) (b) amend a direction; or revoke a direction and, if the Commission considers it appropriate, substitute a new direction.
Subclauses (1) to (3) apply to an amendment to a direction or a substitute direction— (a) as if the amendment or substitute direction were the ori­ ginal direction; and (b) with other necessary modiﬁcations.

Regulation 10(1): substituted, on 9 April 2009, by regulation 8 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
Regulation 10(2): substituted, on 9 April 2009, by regulation 8 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Regulation 10(2A): inserted, on 9 April 2009, by regulation 8 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Speciﬁed participants must comply with direction Each speciﬁed participant must comply with a direction given to it by the Commission under regulation 10.
Each speciﬁed participant must, in complying with the direc­ tion, apply, to the extent practicable, the criteria, methodolo­ gies, and principles speciﬁed in the security of supply outage plan.

Each speciﬁed participant must comply with a direction in ac­ cordance with its participant outage plan, if it has a plan that has been approved under Part 1.
If a speciﬁed participant does not have a participant outage plan approved under Part 1, the speciﬁed participant,— 11 Part 2 r 12 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 (a) (b) in complying with the direction, must apply, to the ex­ tent practicable, the criteria, methodologies, and princi­ ples speciﬁed in the security of supply outage plan; and as soon as practicable after the direction is given, must provide to the Commission information as to the steps the participant will take to comply with the direction (including any steps the participant has already taken to comply with the direction).
Regulation 11(3): added, on 9 April 2009, by regulation 9 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Regulation 11(4): added, on 9 April 2009, by regulation 9 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
Offence to fail to comply with Commission direction [Revoked] Regulation 12: revoked, on 9 April 2009, by regulation 10 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

Revocation of supply shortage declaration The Commission must revoke a supply shortage declaration when it is satisﬁed that the circumstances that gave rise to the declaration no longer apply.

The Commission must publish the revocation as soon as prac­ ticable after it is made.
Regulation 13(2): added, on 9 April 2009, by regulation 11 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
Part 3 Miscellaneous Provision of information The Commission may, by notice in writing to a person who the Commission considers may have information relevant to any of the following, require the person to provide the information to the Commission: (a) the preparation by the Commission of the security of supply outage plan under subpart 1 of Part 1; and the need for a supply shortage declaration; and the need for a direction requiring outages under regula­ tion 10; and (b) (c) 12 13 (1) (2) 14 (1) 12 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Part 3 r 16 (d) the number and extent of outages necessary under a di­ rection; and (e) monitoring compliance with a direction given under regulation 10.
(2) (3) Subclause (1) applies only to information that is— (a) reasonably necessary for the Commission to undertake its functions under these regulations or to monitor com­ pliance with a direction; and in that person’s possession or that the person can obtain without unreasonable difﬁculty or expense.

(b) The Commission must specify in the notice given under sub­ clause (1) the date by which the person must provide the in­ formation required.
(5) (4) A person who has received a notice under subclause (1) must provide the information required by the Commission by the date speciﬁed by the Commission in the notice.

The Commission may require speciﬁed participants to provide to the Commission contact information speciﬁed by the Com­ mission that would enable the Commission to communicate with the speciﬁed participants.
Regulation 14: substituted, on 9 April 2009, by regulation 12 of the Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).

15 16 (1) (2) Offence to fail to provide information Every person commits an offence who fails, without reason­ able excuse, to comply with a requirement under regulation 14 and is liable on summary conviction to a ﬁne not exceed­ ing $20,000.
Application of Rulings Panel procedures Parts 4 to 6 and 8 of the Electricity Governance Regulations 2003 apply to any alleged breach of these regulations by a participant (other than an alleged breach to which regulation 15 applies).
Those provisions apply— (a) as if references in those provisions to an alleged breach of those regulations were references to an alleged breach of these regulations; and 13 Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 (3) (b) with all necessary modiﬁcations.
To avoid doubt, the exercise of any power or function under these regulations by the system operator, including any action taken under delegation from the Commission, is an action in the system operator’s capacity as a service provider appointed under regulation 30 of the Electricity Governance Regulations 2003.

Regulation 16: added, on 9 April 2009, by regulation 13 of the Electricity Gov­ ernance (Security of Supply) Amendment Regulations 2009 (SR 2009/40).
Rebecca Kitteridge, Clerk of the Executive Council.

Issued under the authority of the Acts and Regulations Publication Act 1989.

Date of notiﬁcation in Gazette: 14 August 2008.


14 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Notes Contents 1 2 3 4 General Status of reprints How reprints are prepared Changes made under section 17C of the Acts and Regulations Publication Act 1989 List of amendments incorporated in this reprint (most recent ﬁrst) 5 Notes 1 2 3 General This is a reprint of the Electricity Governance (Security of Supply) Regulations 2008.
The reprint incorporates all the amendments to the regulations as at 9 April 2009, as speciﬁed in the list of amendments at the end of these notes.

Relevant provisions of any amending enactments that have yet to come into force or that contain relevant transitional or savings provisions are also included, after the principal enact­ ment, in chronological order.
Status of reprints Under section 16D of the Acts and Regulations Publication Act 1989, reprints are presumed to correctly state, as at the date of the reprint, the law enacted by the principal enactment and by the amendments to that enactment.

This presumption applies even though editorial changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in the reprint.
This presumption may be rebutted by producing the ofﬁcial volumes of statutes or statutory regulations in which the prin­ cipal enactment and its amendments are contained.

How reprints are prepared A number of editorial conventions are followed in the prep­ aration of reprints.

For example, the enacting words are not included in Acts, and provisions that are repealed or revoked are omitted.
For a detailed list of the editorial conventions, see 15 Notes Electricity Governance (Security of Supply) Regulations 2008 Reprinted as at 9 April 2009 http://www.pco.parliament.govt.nz/legislation/reprints.shtml or Part 8 of the Tables of Acts and Ordinances and Statutory Regulations, and Deemed Regulations in Force.
Changes made under section 17C of the Acts and Regulations Publication Act 1989 Section 17C of the Acts and Regulations Publication Act 1989 authorises the making of editorial changes in a reprint as set out in sections 17D and 17E of that Act so that, to the extent permitted, the format and style of the reprinted enactment is consistent with current legislative drafting practice.

Changes that would alter the effect of the legislation are not permitted.
A new format of legislation was introduced on 1 January 2000.

Changes to legislative drafting style have also been made since 1997, and are ongoing.

To the extent permitted by section 17C of the Acts and Regulations Publication Act 1989, all le­ gislation reprinted after 1 January 2000 is in the new format for legislation and reﬂects current drafting practice at the time of the reprint.
In outline, the editorial changes made in reprints under the au­ thority of section 17C of the Acts and Regulations Publication Act 1989 are set out below, and they have been applied, where relevant, in the preparation of this reprint: • omission of unnecessary referential words (such as “of this section” and “of this Act”) typeface and type size (Times Roman, generally in 11.5 point) layout of provisions, including: • • indentation position of section headings (eg, the number and heading now appear above the section) format of deﬁnitions (eg, the deﬁned term now appears in bold type, without quotation marks) format of dates (eg, a date formerly expressed as “the 1st day of January 1999” is now expressed as “1 January 1999”) position of the date of assent (it now appears on the front page of each Act) • • • • • 4 16 Reprinted as at 9 April 2009 Electricity Governance (Security of Supply) Regulations 2008 Notes • • • • • • punctuation (eg, colons are not used after deﬁnitions) Parts numbered with roman numerals are replaced with arabic numerals, and all cross­references are changed accordingly case and appearance of letters and words, including: • format of headings (eg, headings where each word formerly appeared with an initial cap­ ital letter followed by small capital letters are amended so that the heading appears in bold, with only the ﬁrst word (and any proper nouns) appearing with an initial capital letter) small capital letters in section and subsection ref­ erences are now capital letters • schedules are renumbered (eg, Schedule 1 replaces First Schedule), and all cross­references are changed accord­ ingly running heads (the information that appears at the top of each page) format of two­column schedules of consequential amendments, and schedules of repeals (eg, they are rearranged into alphabetical order, rather than chrono­ logical).
List of amendments incorporated in this reprint (most recent ﬁrst) Electricity Governance (Security of Supply) Amendment Regulations 2009 (SR 2009/40) 5 12 Wellington, New Zealand: Published under the authority of the New Zealand Government—2009 17