Deregulation from the Gas Utility's Perspective

The paper covers the process of energy sector reform as it relates to the New Zealand Gas Industry. The reform processes are aimed at deregulating the gas industry, encouraging competition within the energy sector, and providing only light-handed controls in the areas of transmission and distribution where competition is unlikely. The paper concentrates on the technical aspects and views the process from the utility point of view. The first section looks at the specific elements of the energy sector reform legislation and identifies the changes that were brought about through the new Gas Act, the Gas Regulations and associated law amendments. The changes range from the removal of the exclusive franchises and price controls through to the development of a new regime to control gasfitting and gas appliances. The second section reviews the relevant aspects of the broader changes of the deregulation process which have impacted on all New Zealand industries as the country moves through the 90s. These changes range from new legislation to manage resources through to changes in the health and safety area. The final section covers the activities and initiatives of the Gas Industry to optimise the opportunities that the deregulation process provides. These changes range from the preparation of access agreements for transportation of gas through to new training structures to ensure that adequate skills are available to maintain the industry's excellent safety and reliability round.