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electricity and gas complaints commission
 

For immediate release 6 July 2004
Embargoed until 5pm 6 July 2004


Electricity investigations up 28 percent

Electricity Complaints Commissioner Judi Jones presented her annual report at the commission's annual general meeting today, advising that the second full year of operation of the office had seen a 28 percent growth in the number of investigations it conducted.

The annual general meeting was held at Pod meeting rooms in Wellington.

While the total number of enquiries and complaints for the 2003-04 year was lower than the previous year, there was a significant increase in files for investigation. A good many of these files involved complex fact situations, and/or complex or novel legal issues, which meant the files took a while to resolve.

The office dealt with 574 enquiries (where advice only is given, or the matter is outside jurisdiction) and referred 1199 complaints to member companies during the year. While this represents a percentage decrease in customers contacting the office, there was a 28 percent increase in deadlocked files requiring investigation and the office achieved a 183 percent increase in the file closure rate.

"It is reassuring for stakeholders in the scheme to note that while 1199 customers contacted us about a complaint about their retailer or lines company, only 351 files reached deadlock during the year," Ms Jones says.

"And of the 354 files we closed during the year, most were closed after the customer and their company reached agreement on a settlement during the investigation/ conciliation process.

"On 34 occasions, I wrote to both parties to give my preliminary view on the complaint and giving them notice of an intention to make a recommendation. In 25 cases, both the company and the customer accepted the proposed recommendation or reached agreement. However, in nine cases, either the customer or the company made further comment and asked me to review my proposed recommendation. In three of these, I did not uphold the complaint against the member company."

In terms of the issues involved in the deadlocked files, the biggest issue remained billing (68.4%), followed by metering (11.1%).

Commission chairperson Alison Paterson spoke to the meeting saying that the commission was approaching the goal of 100 percent membership. New members joining the scheme during the year were Mainpower and Eastland Network. Genesis acquired Fresh Start's customer base, enabling the office to assist Fresh Start customers. Electra and Unison have indicated their intention to join the scheme, which will leave only two retailers (Bay of Plenty Electricity and King Country Energy) outside the scheme.

She said The Electricity and Gas Industries Bill and the Government Policy Statement (GPS) present challenges for the office of the commissioner in the year ahead. The bill reflects the establishment of the Electricity Commission and makes provision for a consistent framework to apply to both the electricity and gas sectors. The commission plans to begin consultation with members and other stakeholders during the coming year regarding changes to the scheme to enable it to meet the Government's expectations.

The reticulated natural gas industry and Transpower are looking at becoming members of the scheme.

The commission has also agreed the office of the commissioner is well placed to provide the reviewer function for the disclosure guidelines for energy trusts.

Costs of changes required to the scheme to include reticulated gas, Transpower and energy trusts will be met by the respective sectors.

A full copy of the office's annual report will be loaded onto the website after the annual general meeting on www.electricitycomplaints.co.nz/news/2004AnnualReport

ENDS

For more information contact:
Josie Vidal
Communications/Publicity Officer,
Electricity Complaints Commission.
Tel: (04) 914-4526
e-mail: j.vidal@electricitycomplaints.co.nz

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