New Zealand Legislation: Regulations

18 How and when estimated ongoing fees payable

• (1) The estimated ongoing fees are payable to the industry body.

  (2) Subclause (3) applies to each month after the month in which the deadline for supplying returns specified in regulation 16 occurs.

  (3) Every person to whom regulation 17(3) applies must supply to the industry body a return no later than the tenth day of each month, unless otherwise agreed by the industry body. The return must state—

  • (a) the total number of gigajoules of gas that the person purchased directly from all gas producers during the previous month; and

  • (b) how many gigajoules of gas were purchased from each gas producer during that month.

  (4) As soon as practicable after the go-live date, the industry body must determine and publish a breakdown of the estimated critical contingency ongoing costs for the first year or part year of operation of the critical contingency management plans.

  (5) As soon as practicable after the publication of those estimated critical contingency ongoing costs, the industry body must notify every person to whom regulation 17(3) applies of the estimated critical contingency ongoing costs, and that ongoing fees will be payable by that person in that year or part year in accordance with the following formula:

  	a ×		b
  			c

  where—

  a

  equals the critical contingency ongoing costs estimated in accordance with subclause (4) and divided by the number of months in the applicable year or part year

  b

  equals the total quantity of gas purchased by that person directly from all gas producers during the month that is 2 months prior to the month in which the relevant invoice is issued under subclause (7)

  c

  equals the total quantity of gas purchased by all persons directly from all gas producers during the month that is 2 months prior to the month in which the relevant invoice is issued under subclause (7).

  (6) For each year following the first year or part year of operation, the industry body must—

  • (a) estimate and publish on its Internet site, at least 2 months before the beginning of the year, a breakdown of the estimated critical contingency ongoing costs for that year; and

  • (b) as soon as practicable after publication of those estimated critical contingency ongoing costs, notify every person to whom regulation 17(3) applies of the estimated critical contingency ongoing costs, and that ongoing fees will be payable by that person in that year calculated in accordance with the formula in subclause (5).

  (7) On the first business day of each month following the notification in subclause (5), the industry body or the critical contingency operator must invoice every person to whom regulation 17(3) applies for that person’s share of the estimated critical contingency ongoing costs payable during that month, calculated in accordance with the formula in subclause (5).