Amalgamation of Network Tasman and Nelson Electricity
Frequently asked questions
Amalgamation of Network Tasman and Nelson Electricity
Since 1993, Network Tasman has been the electricity distribution business (distributor) supplying electricity to the wider Tasman and Golden Bay area (including Murchison and areas north of Nelson), and Nelson Electricity has been the distributor supplying central Nelson.
Network Tasman is wholly owned by its consumers, who are represented by Network Tasman Trust. The Network Tasman Trust’s beneficiaries are those located in the area historically supplied by Network Tasman.
Nelson Electricity was formerly a Municipal Electricity Department owned by the Nelson City Council. When the City Council sold Nelson Electricity in 1996, the Council relinquished the (indirect) ownership stake that electricity consumers in the area held in Nelson Electricity. The money from this sale was used by the Council for the benefit of its ratepayers.
Frequently asked questions
What's happening?
Network Tasman has purchased Marlborough Lines’ shareholding in Nelson Electricity and now fully owns Nelson Electricity Limited. This purchase was debt-funded by Network Tasman. The two businesses will merge into one company from 31 March 2026.
Who will Network Tasman supply?
After the change, Network Tasman will supply electricity distribution services to two areas: • Tasman network - around 43,000 connections across the wider Tasman and Golden Bay area (including Murchison and areas north of Nelson), and • Nelson network - around 10,000 connections in central Nelson.
Do I need to do anything?
No. You don’t need to take any action. The change will be managed by Network Tasman and electricity retailers.
Will this affect my electricity supply or power bill?
Your electricity supply with not change and you will still deal with your electricity retailer (the company that sends you your bill). Nelson network prices were set to comply with the company's revenue cap imposed by the Commerce Commission, and this practice will continue after the amalgamation.
While some systems and administrative changes will happen behind the scenes, Network Tasman and electricity retailers will manage these so that consumers are not impacted.
Will Nelson network consumers get a discount?
No. Discounts are paid twice a year to consumers in the Tasman network area. This arrangement does not change as part of the amalgamation. The amount varies depending on electricity use.
What about the Trust’s annual payment?
Consumers in the Tasman network area have also been receiving an annual payment from the Network Tasman Trust. This comes from a separate Trust investment fund created from the sale of Network Tasman’s former energy business in he late 1990s.
As the money belongs to the consumer-owners of the Trust, this money cannot be distributed to Nelson network consumers. Distributing those funds beyond the defined beneficiary group would likely breach the Trust Deed and be open to legal challenge.
Will prices be the same across Nelson and Tasman networks after amalgamation?
No. We will continue to set different prices for the Nelson and Tasman networks to reflect the different costs of operating and maintaining each network. Revenues recovered from each network area will remain below the regulated revenue cap set by the Commerce Commission.
Contact and services
The Nelson Electricity website will remain available for a short time after the amalgamation, but it will be limited to information about the amalgamation and contact details.
Amalgamation
Click on the button to view the Amalgamation of Network Tasman and Nelson Electricity Information as a PDF.
