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Electricity Industry Act 2010

Preliminary provisions

6A: Meaning of involved in

You could also call this:

“What it means to be 'involved in' an industry participant”

In this law, being “involved in” an industry participant means you:

  1. Run a business as an industry participant, either by yourself or with others, or for yourself or someone else.

  2. Have more than 10% control or profit rights in a business that is an industry participant. This can be directly or together with others you’re associated with.

  3. Have a big influence over a business that is an industry participant.

The law explains some special terms:

  • An “associate” is someone connected to you in a specific way described in another part of the law.
  • “Control rights” and “equity return rights” are also explained in other parts of the law.
  • A “director” is someone in charge of a company, no matter what their exact title is.
  • The “financial year” ends on 31 March.
  • “Material influence” is also defined elsewhere in the law.
  • “Rights” include all kinds of powers and privileges you might have now or in the future.

There are more details about this in Schedule 2 of the law.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS747846.

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Part 1 Preliminary provisions

6AMeaning of involved in

  1. In this Act, unless the context otherwise requires, a person is involved in an industry participant if the person—

  2. carries on a business as an industry participant, either alone or together with its associates and either on its own or another’s behalf; or
    1. exceeds the 10% threshold in respect of a business that is an industry participant; or
      1. has material influence over a business that is an industry participant.

        1. A person exceeds the 10% threshold in respect of a business if the person—

        2. has more than 10% of the control rights in the business; or
          1. has more than 10% of the equity return rights in the business; or
            1. is one of 2 or more associates who, in aggregate, have more than 10% of the control rights in the business; or
              1. is one of 2 or more associates who, in aggregate, have more than 10% of the equity return rights in the business.

                1. This section is subject to Schedule 2.

                2. In this section and in Schedule 2,—

                  associate has the meaning given in clause 8 of Schedule 2

                    control right has the meaning given in clause 5 of Schedule 2

                      director, in relation to a body corporate, means a person occupying the position of director of the body corporate by whatever name called

                        equity return right has the meaning given in clause 6 of Schedule 2

                          financial year means a period of 12 months ending with 31 March

                            involvement has a corresponding meaning to involved in

                              material influence has the meaning given in clause 7 of Schedule 2

                                rights means all rights, powers, privileges, and immunities, whether actual, contingent, or prospective.

                                Notes
                                • Section 6A: inserted, on , by section 6 of the Electricity Industry Amendment Act 2022 (2022 No 46).