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Commerce Act 1986

Regulated goods or services - Water services - Commission may recommend further regulation or deregulation

57H: Process for Commission’s recommendation

You could also call this:

"How the Commission decides who to regulate in the water services industry"

Illustration for Commerce Act 1986

Before the Commission makes a recommendation under section 57G, they must think about some things. You need to consider whether regulating some water services would be better, and what the water services delivery structure is like. The Commission also looks at how well suppliers are doing against certain revenue targets and any other important matters.

The Commission must also talk to people who are interested in this issue, but you can find more information about this in section 57M. When thinking about the water services delivery structure, the Commission might consider what types of water services are being supplied, where the suppliers are, how big they are, and how they are governed.

If the Commission recommends that some suppliers should be regulated, they must say which suppliers, what water services should be regulated, and what type of regulation they should have. They must also say when this regulation should start, according to section 52P determinations. This also applies if the Commission recommends that some suppliers should no longer be regulated.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1505974.

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57G: Commission may recommend further regulation or deregulation, or

"The Commission can suggest changes to rules for water services"

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Part 4Regulated goods or services
Water services: Commission may recommend further regulation or deregulation

57HProcess for Commission’s recommendation

  1. Before making a recommendation under section 57G, the Commission must—

  2. consider the following matters:
    1. whether imposing (or removing suppliers from) the regulation would better promote the purpose of this Part:
      1. the nature of the water services delivery structure (to the extent that the Commission considers relevant):
        1. whether revenue threshold regulation applies to the relevant water services and, if so, the extent of regulated suppliers’ performance against each revenue threshold that applies:
          1. any other matters the Commission considers relevant; and
          2. consult interested parties (but see section 57M).

            1. For the purposes of subsection (1)(a)(ii), the nature of the water services delivery structure may include any of the following (to the extent that the Commission considers those matters are relevant):

            2. the types of water services being supplied:
              1. the location of the suppliers:
                1. the size of the suppliers:
                  1. the governance arrangements of the suppliers:
                    1. the type of delivery model adopted under subpart 1 of Part 2 of the Local Government (Water Services) Act 2025.

                      1. If the Commission recommends to the Minister that 1 or more suppliers be subject to 1 or more types of regulation, the recommendation must—

                      2. describe each supplier that is the subject of the recommendation; and
                        1. describe the water services provided by the supplier that the Commission considers should be regulated; and
                          1. specify the 1 or more types of regulation that the Commission considers the supplier should be subject to and when the relevant section 52P determinations should apply.

                            1. Subsection (3) applies with all necessary modifications to a recommendation that 1 or more suppliers should no longer be subject to 1 or more types of regulation.

                            Notes
                            • Section 57H: inserted, on , by section 14 of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).