Photo: RNZ / Cole Eastham-Farrelly
Power lines company Vector is being fined nearly $1.2 million for excessive power network outages.
The High Court in Auckland issued the penalty after the Commerce Commision found the company failed to meet quality standards between 2017 and 2020.
It is the third time a lines company has been fined for breaching quality standards, and the second for Vector.
Vector said it had since resolved the issues and was investing $7.5m a week to maintain and expand the network.
As part of its reporting obligations, Vector disclosed that it contravened its quality standards for each of the years, the commission said.
Associate Commissioner Vhari McWha said while Vector had taken measures to address its previous non-compliance with the quality standards relating to outages, it had failed to adhere to good industry practice by taking those steps too late to prevent the contraventions in the 2017 to 2020 years.
"Auckland consumers have the right to expect a good quality of service from their lines company and Vector did not implement measures to deal with its network reliability as early as it should have," McWha said.
"Given the impact electricity outages can have on consumers and businesses - from loss of perishable items, heating and hot water through to staff downtime and loss of revenue - it is crucial that lines companies have the systems in place to identify and manage the risks present in their networks."
The $1,158,400 penalty amount imposed by the High Court was jointly recommended by the Commerce Commission and Vector.
The penalty for the 2018 year was the highest, reflecting the fact that the extent of outages was greatest in this period, while the penalty for the 2019 and 2020 years was lower, accounting for the fact that the majority of Vector's remedial steps occurred during this period, the commission said.