The EIR Act was introduced to reform the electricity industry to better ensure that costs and prices in the electricity industry are subject to sustained downward pressure and the benefits of efficient electricity pricing flow through to all classes of consumers by:
- effectively separating electricity lines from generation and retail where those activities are co-located;
- promoting effective competition in electricity generation and retail; and
- limiting barriers to new investment in generation from renewable energy sources.
The Commerce Commission had both an enforcement and adjudication role under the EIR Act. Â It allowed the Commission to exempt parties from the application of the Act which prohibited the involvement in both an electricity lines business and an electricity supply business. For a full list of exemption applications received and determinations made, see the Exemptions Register.
