Multiple Trading Relationships

Project overview

Aim of the project

To evaluate the benefits of providing customers with the option to contract with more than one supplier for electricity services.

  • Start date
  • Status

Next steps

First pilot projects to commence September 2021.

Currently, customers must contract with a single retailer for electricity services at one installation control point (ICP). The multiple trading relationships (MTR) concept is a form of  innovation that aims to provide a customer with the option to contract with more than one supplier to receive or supply a subset of electricity services (including consumption, generation, demand response and other third-party provider services) at an ICP.

MTR aims to expand the range of choices of suppliers and services available to consumers, particularly in the context of greater uptake of distributed energy resources (DER) like rooftop solar panels. It provides potential benefit to consumers from the unbundling of electricity services and the creation of new ones, and may result in the achievement of emissions budgets at lower overall cost.

With the support of the Electricity Authority (EA), Ara Ake is coordinating a pilot in an ‘off-market’ environment to investigate the concept of MTR in the electricity sector. 

The pilot comprises three new roles to allow the MTR concept to be applied to the real world. These are: Sub-ICP suppliers which would be the organisations providing a subset of electricity services, apart from the ICP main retailer; a connection agent which will be in charge of the registry functions; and an allocation agent to fulfil the reconciliation functions.

 

 

Next steps

The first pilot projects are due to commence shortly. We are now seeking participants for this pilot.

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