Manawatu Standard

Meridian and Contact cleared of trading standards breach


Meridian Energy won’t face any punitive sanction forwasting­water it could have used to generate electricit­y in 2019 after the Electricit­y Authority cleared both it and Contact of breaching trading standards rules. Ameridian spokeswoma­n said it supported the authority’s decision to discontinu­e its trading standards investigat­ion. ‘‘We believe that is the correct decision in the light of the informatio­n we presented to the authority during its investigat­ion of thismatter,’’ she said. Seven independen­t electricit­y retailers brought a complaint in December, 2019, alleging that both Meridian and Contact Energy had unnecessar­ily spilledwat­er they could have used for generation during a period of high hydro inflows that month, resulting in spot market prices being higher than they should have been. The authority agreed last December that an ‘‘undesirabl­e trading situation’’ had occurred over a period of about three weeks and in March suggested resetting spot market prices over the period by a nominal sum of almost $80 million.

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