Pioneer scheme overview
A pioneer scheme ensures that when a customer pays to extend the electricity network, future customers who benefit by connecting to the network extension must share the cost by paying a rebate to the first mover. This ensures customers are treated fairly and network growth is encouraged.
The scheme runs for a set period of time and is managed by EA Networks.
Each pioneer scheme must disclose:
- Part of the network each scheme covers (map)
- Start date
- Expiry date (start +7yrs)
- Initial $ value of pioneer scheme
FAQs
What does “pioneer” mean?
A pioneer is the first customer who pays for a new section of the electricity network that could be used by others in the future. If later customers connect and use that same infrastructure, the pioneer may receive rebates toward the original cost.
Why does the pioneer scheme exist?
The scheme exists to ensure fairness. Without it, the first person to connect would pay the full cost, even though others may benefit later. The pioneer scheme spreads the cost over time so people only pay their fair share.
When does a pioneer scheme apply?
A pioneer scheme may apply when new network assets are required, the cost is above a set threshold and it is reasonable to expect others may connect later. Not all new connections qualify and some developments are excluded.
What do customers have to pay who connect to an existing pioneer scheme?
Customers who connect to pioneer scheme assets may need to make a pioneer scheme contribution. The amount depends on how much of the assets are used, their remaining value and the size of the connection. Very small contributions are not charged.
Who receives the rebate?
Rebates are paid to the customer or landowner who holds pioneer status at the time. Pioneer status can sometimes be shared or transferred, such as when land is subdivided or ownership changes.
How long does a pioneer scheme last?
Each Pioneer Scheme runs for seven years from the date the first customer’s connection was activated, unless it ends earlier by agreement.
Does this affect my normal connection charges?
Yes. Pioneer scheme contributions are separate from standard connection charges.
Any applicable charges will be explained during the connection application process.
Where can I find information about active Pioneer Schemes?
Details of active Pioneer Schemes are published below and confirmed as part of the connection process.
Who can I contact if I have questions?
You can contact EA Networks by emailing enquiries@eanetworks.co.nz or calling 0800 430 460.
Active pioneer schemes
There are currently no schemes in place.
Reapportionment scheme overview
A reapportionment scheme is an existing EA Networks cost‑sharing arrangement that applies when a customer has paid to extend the electricity network and other customers later connect and benefit from that same network assets. Like a pioneer scheme, it is designed to ensure fairness by sharing the cost of network extensions over time, rather than leaving the first customer to pay the full cost alone.
A re‑apportionment applies to network extensions prior to 1 April 2026, after which the pioneer scheme policy takes effect.
FAQs
How is this different from a pioneer scheme?
Both schemes aim to achieve the same outcome: fair sharing of network extension costs. There are some key differences:
- It is not required by the Electricity Industry Participation Code
- It already exists and applies to older or legacy network extensions
- It runs for up to 10 years
- There is no minimum network extension cost required for a scheme to apply.
Why does the reapportionment scheme exist?
The scheme exists to ensure fairness. Without it, the first customer to connect would pay the full cost of extending the network, even though others may benefit later.
Re‑apportionment schemes help ensure customers only pay their fair share of shared infrastructure.
When does a reapportionment scheme apply?
A re‑apportionment scheme applies to network extensions prior to 1 April 2026, superseded by the pioneer scheme.
What do customers have to pay if they connect to a reapportionment scheme?
Customers who connect to network assets covered by a reapportionment scheme may be required to make a contribution. The amount depends on how much of the network assets they use, the remaining value of those assets, the size of their connection.
How long does a reapportionment scheme last?
Each re‑apportionment scheme can last for up to 10 years from when the original network extension is first used, unless it ends earlier.