Pricing in a renewables-based electricity system

Price discovery in a renewables-based electricity system

Upcoming Open Closed Decision
View submissions Submissions closed 6 March 2023
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Consultation

The Market Development Advisory Group (MDAG) consulted on how wholesale electricity arrangements should be changed to enable the electricity system to play its role, fully and efficiently, in decarbonising New Zealand’s economy.

They sought feedback on a range of options for changes to the wholesale market, assuming 100% renewable supply, to ensure economically efficient price signals. Read the options paper.

Thanks to all those who made a submission. MDAG has published a draft work plan, recap on preferred options and submissions, and taxonomy of submissions.

MDAG is considering all submissions and carrying out further analysis and engagement before providing its final recommendations to the Electricity Authority’s Board in December 2023.

Options paper

Price discovery in a renewables-based electricity system - options paper

Price discovery in a renewables-based electricity system - options paper

This options paper proposes a range of options where change could be warranted as New Zealand transition towards 100% renewable electricity supply.

The paper is structured around five areas for future action, each with multiple options for consideration:

  • Ensuring reliable and efficient operational coordination
  • Ensuring effective risk management and efficient investment
  • Lifting demand-side participation
  • Strengthening competition
  • Increasing market confidence
2 December 2022

Supporting documents

Download all as a zip

Submissions

Download all submissions (.zip)