Gas Industry Co has three sources of funding:
The Gas Act provides for a levy on industry participants to fund the activities of Gas Industry Co (as industry body) pursuant to the Gas Act. The levy is implemented through annual regulations following industry consultation. The levy covers the cost of Gas Industry Co’s policy work and market administration, excluding external service providers and some consultants. Any eccess levy recovered in a financial year is generally refunded to industry participants in the following year. The current Regulations and background information can be found here.
Section 43S of the Act provides for industry governance regulations or rules to be funded by industry participants. Details of industry participant funding, or 'Market Fees', are set out in each of the regulations or rules to which they apply. These fees are used to recover costs of external service providers and consultants. The Downstream Reconciliation Rules, Switching Arrangements and Critical Contingency Management Regulations contain market fee provisions.
Shareholders are required to pay an annual fee to Gas Industry Co. In November 2016, the Board determined that the annual shareholder fee for FY2017 and the following financial years is $2,000 (plus GST) per shareholder.
Original Link: https://www.gasindustry.co.nz/about-us/funding/
Page last saved: July 05, 2018