W/B 25 June 2012
Vector will appeal the recent Court of Appeal ruling in favour of the Commerce Commission in respect of the rules and process for setting starting price adjustments.
In March 2011, Vector commenced a judicial review process which argued that the methodology for setting starting prices should be included in final input methodologies. The High Court ruled in favour of Vector’s judicial review action on 27 September 2011, however this decision was overturned in the Court of Appeal on 1 June 2012.
Vector Chief Executive Simon Mackenzie said the company believed that the original decision made by the High Court was robust and is therefore appealing to the Supreme Court for a final decision on the issue.
“The inclusion of a starting price methodology in the input methodologies framework is fundamental to a good regulatory regime and in our view this was implicit in the decision to make the amendments to the Commerce Act in 2008,” he said.
- Vector comfortably supplied the peak demand for electricity this week in Auckland.
- There was a slight lift in demand on the night of 30 June due to the cold overnight temperature of two degrees in Auckland. Power use rose to 1541 MW at 6pm from 1508 MW at the same time the night before. Our record peak last winter was 1852 MW when the Auckland region experienced snow in some parts of the city.
- There were several third party incidents impacting on the network this week. Five vehicle v pole accidents occurred (one involving a bus) in Taupaki, East Tamaki, Wattle Downs, Glen Eden and Cockle Bay. Our faults crews responded to six property fires, isolating electricity to ensure the safety of fire personnel. There were also three emergency responses to calls regarding ‘lines down’. Once incident was a streetlight, another involved Chorus lines and the final one saw a high topped garbage truck taking lines down.
GAS TRANSMISSION AND DISTRIBUTION
- Vector comfortably supplied the peak demand for gas this week in Auckland and other parts of the network in the North Island.
- There were four gas incidents this week, the most unusual being a car v household gas line. However, the remaining three were all caused by third party contractors striking our network. Chorus contractors were responsible for these. Please take care around our gas network and call 0508 B4 U WORK (248 967) or 0800 B4 U DIG if outside Auckland).
- Vector Gas has completed long term contracts with multiple large businesses going through to 2018. The businesses are in the steel production, generation and dairying sectors.
- Smart meter deployment continues at a good pace. To date, over 360,000 smart meters have been installed nationwide covering 18 regions across South and North Island.
- Vector has begun work on a reinforcement project to ensure greater security of supply for Middlemore Hospital in South Auckland. We are putting in place a dedicated cable between the Mangere East substation and Middlemore Hospital, creating greater security of supply for this important piece of infrastructure. Disruption to traffic will be minimal as most work is happening on the berm.
- The Balmoral to Sandringham upgrade work has progressed well despite the inclement weather. Many compliments have come the way of the project team for their work with the residents. (photos available)
“I would like to compliment contractors currently working on Kiwitea Street, excellent manners and presentation - even bought my bin in, very appreciative and wants to extend my gratitude”.
- Vector has kicked off a Winter Safety Campaign to ensure homes and businesses are aware of the work they can do to minimise power cuts during winter.
- Vector has wonthe Electricity Engineers’ Association Public Safety Award for their Safety in Schools Programme. The company has been running a “Stay Safe Around Electricity” schools programme since 2005 and has recently begun a gas safety programme in the Taranaki Region. Vector’s schools programme educator visited 423 schools in Auckland, delivering the safety message to more than 87,000 students since 2005.
- Vector owns over 17,737 kilometres of overhead and underground lines in the greater Auckland area, and 12,572 kilometres of gas pipelines, with almost half supplying gas to Auckland.
- Vector welcomed Flight of the Conchords to Auckland on Friday 29th June and Sunday 1 July. Vector, proud sponsor of the Arena.