Orion's pricing praised as example for other network companies

13 December 2005

The Major Electricity Users Group (MEUG) released a report yesterday which concluded that local electricity distributor Orion New Zealand Ltd's pricing disclosure is an example of how electricity distributors in New Zealand should meet their regulatory pricing requirements.  The MEUG commissioned study also called on the Electricity Commission to make consistent network pricing a priority and sited Orion's pricing disclosure "as being a useful template that the Commerce Commission could use".

MEUG represents about 25 companies that consume about a third of the nation's electricity.

Orion CEO Roger Sutton said that "Orion has over the last 15 years worked hard at delivering a reliable network at a price that is reasonable to customers and that encourages as best we can the wise use of energy in our community.  This is not the first time that the manner in which we price, and show clearly to our customers how we price, has been praised after expert examination.  We believe our pricing needs be followed by more network companies if New Zealand is to continue to become energy efficient."

Orion New Zealand Ltd, electricity distributor to central Canterbury including Christchurch, has reduced its prices by over 15% in real terms over the last five years.  Orion is also rated as the most reliable major electricity distribution network in New Zealand.

For more information, contact:

Roger Sutton
Chief Executive Officer
03-363-9846
Mobile 027 4333 632