Changes to the Pulse Energy Residential Agreement

The following changes to the Pulse Energy Residential Agreement come into effect on 1 April 2015.

This document provides a brief summary of the changes to your Pulse Energy Residential Agreement. For further details please read the full Agreement at www.pulseenergy.co.nz/agreement. If you have any questions or require further information about a specific change, you may call Pulse Energy and we will assist with your query.

Please note that in the event of any inconsistency, the terms and conditions in our Residential Agreement prevail over those contained in this change notification document. Where context permits, terms used in this document have the meaning attributed to them in the full Residential Agreement.

Section
Nature of Change
Details
Explanation

Entire Agreement

Addition

The Residential Agreement now includes terms and conditions for the supply and provision of LPG and Natural Gas. The key changes in this regard are for the purpose of describing:

  1. how the supply of Natural Gas and LPG will occur, including detailing the scenarios in which supply may be interrupted or discontinued (generally for reasons of safety, security, testing, maintenance or repair and in some cases where you are not complying with your obligations under the terms and conditions);
  2. fees that will apply to the supply of Natural Gas and LPG;
  3. your obligations in respect of the receipt of Natural Gas and LPG, including obligations in respect of the safe housing of equipment belonging to the meter owner and the distributor and compliance with the distributor’s use of system agreements; and
  4. the rights of the distributor, meter owner and the operators of the gas transmission pipelines, including their ability to access your property (to check on equipment or for other reasons generally relating to safety, testing, security, maintenance and repair) and provide directions to you in connection with the supply of Natural Gas and LPG to you.

Pulse Energy and Grey Power Electricity now have Natural Gas and LPG available to new and existing customers. Additional terms and conditions were required as part of this review. Natural Gas and LPG is not available in all areas. To find out if our gas services are available in your area you can go to the gas section of our website.

Entire Agreement

 Modifications

Changes to the terms and conditions have been made to reflect the requirements of changes to the Fair Trading Act which came into force on 17 March 2015. These changes restrict the ability of Pulse Energy to include terms in its consumer contracts that may come within the definition of an “unfair contract term” and to ensure that its terms and conditions are transparent and user friendly.

Pulse considered that some on the terms in the terms and conditions should be amended to take into account the changes to the Fair Trading Act.

Entire Agreement

 Modifications

Changes to the terms and conditions have been made to clarify your rights and obligations and to make the terms and conditions easier to understand and more user friendly. Clarification has also been provided on the specific charges that you will be subject to, your obligations to us and our obligations to you.
Changes were also made to clarify your rights under the Consumer Guarantees Act (and the new guarantees that are provided in respect of the supply of electricity and gas) and our responsibilities in respect of health and safety.

Pulse considered that some of the rights and obligations in the terms and conditions should be amended to make them clearer and more user friendly.

Delivery

 Clarification

Although, there will be no mark-up on Your Network Charges for electricity, in some instances it is not practicable to simply “pass through” the Network Charges to You. As an example some networks with GXP based pricing methodologies have some charges which are not on a kWh basis. For these Networks we will endeavour to calculate unit charges per kWh which will ensure that in total we will recover the Network Charges to us, for our customers on that network. 

We have always committed to flow through Network Charges. Clarification was required to cover instances where it was not practical. In cases where flow through is more complicated (for example on GXP networks), we will do our best to calculate the charges to recover the cost of the service. Our intention is not to add any mark up to this cost.

Meter Configuration

 Clarification

A note has been added to Schedule A – Your Price Plan. Our pricing is based on our assumption of your meter configuration, data provision and standard network charges. If for any reason your actual configuration, data provision or network charges are different, the pricing that will apply to you is the pricing for your particular meter configuration, data provision and network charges.

Our price plans have always stated that pricing was dependent on your meter configuration. Additional clarification in this section was required to cover properties with metering configurations different to our normal assumptions.

Access to Your Premises

 Addition

Failure to provide access in accordance with our Agreement with you may incur a fee or result in disconnection. The “No Access Fee” is also added to Schedule B – Schedule of Fees. Additional access requirements have been included due to the addition of Natural Gas and LPG for the distributors, gas pipeline operators and meter owners, to ensure that access is available to all those who require it (generally for inspection, safety, security, testing, maintenance and repair reasons).

We are legally required to read your meter. Actual meter readings mean that you only pay for the electricity you are using. A “No Access Fee” may be charged if you do not allow access to your property for the purpose of a meter read. This is to cover the additional cost to Pulse Energy.

SmoothPay

Removal and addition

We have removed the section which allows SmoothPay payments to be deferred for up to 5 days. In addition, it is also noted that, if you cancel SmoothPay, you will not be eligible to join SmoothPay again within the following 12 months.

The purpose of SmoothPay is to assist in the management of budgeting and to even out electricity bills. When payments are deferred this alters the payment frequency and amount. By allowing customers to defer SmoothPay payments, Pulse Energy is not assisting in enabling the main objectives of this payment method (being to assist with budgeting and evening out bills). There are also extra administrative costs to us of deferring customer payments.

Payment

Modification

The terms have been amended to clarify that if you do not make payment of your bill in full by the relevant due date for payment, we will be entitled to charge you the costs incurred by us in relation to the recovery of those overdue payments.

Pulse has this right to ensure that it is able to recover its costs where a customer does not pay by the due date

Bill Irregularities

 Removal

We have removed the section which states that if we send you a bill more than 3 months late we will negotiate an appropriate discount.

It is important to be aware that bill irregularities can be caused for many reasons and therefore, a blanket agreement to negotiate a discount in every case is not appropriate. Where there are consequences for you, Pulse will assess these on a case by case basis.

Limits to Liability and Indemnity

 Addition

As noted above, a number of changes have been made to the liability and indemnity section of the terms as a result of the additions to cover the supply of Natural Gas and LPG. The key changes to the liability section can be summarised as follows:

  1. You acknowledge that, subject to any rights you may have under the Consumer Guarantees Act, You may not (and shall not) take any action directly against any of the Distributor, Meter Owner, Lines Company or the owner/operator of the Maui Pipeline or transmission system (or any of their directors, employees, contractors, agents or representatives) for any loss, liability, cost or damage you suffer or incur in connection with the supply of Energy to you.
  2. Any limitations on our liability to you now also apply in respect of any potential liability of the Distributor, Meter Owner, Lines Company and owner/operator of the transmission pipelines (or any of their directors, employees, contractors, agents or representatives) to you. There is also a cap on what you can claim from the Lines Company (set at the maximum amount that you are entitled to claim under the applicable complaints resolution scheme referred to in the Gas Act 1992) and any of our contractors involved in the supply of LPG to you (set at $100).
  3. The timeframe for notification of claims by you has been reduced from 21 to 15 Working Days.
  4. Our liability to you in respect of property damage is only for damage caused directly by us or our employees
  5. You acknowledge that we have had to enter into contracts with third parties in order to be able to supply Energy to you and that you will not knowingly do something to put us in breach of those contracts. If you do, we may claim the loss we suffer from you.
 

 There are a number of reasons why the liability and indemnity regime has been updated. The key reasons are to ensure that Pulse’s risk in supplying its customers with Energy is set at a level that makes the supply of Energy by Pulse a viable option (particularly in light of the third party contracts Pulse must enter into in order to be able to make such supply).
Further, as noted above, the terms and conditions required updating to reflect the additional Natural Gas and LPG service provided by Pulse, and various requirements of those third parties supplying (or assisting in the supply of) Energy to Pulse and its customers.

Schedule B
-Fees

Addition and Modification

Changes or addition of the following fees:

  • Addition of the No Access Fee referred to above
  • Addition of LPG Urgent Delivery Fee
  • Addition of Gas Disconnection or Reconnection Fee
  • Addition of Gas After Hours Disconnection or Reconnection Fee
  • Addition of Gas Same Day Disconnection or Reconnection Fee.

From time to time we review these fees. Excluding the No Access Fee, all other fees were added as a result of the addition of Natural Gas and LPG