More about power pricing
How it all works
The amount you pay for electricity is made up of Meridian and network charges.
Here's how the charges break down.
Energy costs (30%)
Like all retailers, we buy energy from power stations throughout New Zealand.
The price we pay for electricity is set by the wholesale market. Every half an hour the market matches supply from generators with demand from power companies and large industrial consumers. This price for your power is included in the Meridian charges.
Transmission and distribution (36%)
Transpower owns and operates the national grid. It delivers electricity from power stations to the regional networks. From there, local distribution companies deliver electricity to customers properties. Transpower and local network costs are included in the network charges.
Our customers meters are owned and managed by separate, specialist companies. We lease the meters from them, and we also pay them to read the meters for us. These meter costs are included in the Meridian charges.
Government levies and gst (14%)
The New Zealand Electricity Authority (EA) regulates the electricity industry. It charges power companies a levy to cover its costs. We pass this charge on to you.
Your power bill also includes GST.
Our cost and margin (15%)
We need to cover our costs such as supplying customer service and running a billing system. We also take a margin. Your bill shows the total electricity rate and your electricity usage.
These percentages reflect total charges after the prompt payment discount to all Meridian residential customers during the 2016 calendar year.