The implications of erecting additional Transmission Lines in New Zealand by Transpower - Assignment Example

It, therefore, runs the national conveying grid for the country (MacInnes, 2011). The national grid is a centralized system that allows proper and organized distribution of power to the New Zealand inhabitants with reliability. The system is such that it regulates the conveyance of electricity and prevents exploitation of people (Action, 2011). The current state law disallows any attempts by the company to exploit people. This regulation is present in the commerce act, which commenced early last year.

The New Zealand regime has a responsibility of conducting a review after a specified period, which aims at ensuring proper power prices (MacInnes, 2011). Through the mandate allowed to the company by the country government, Transpower performed distribution of electricity. The company improved efficiency of power conveyance in the country. The regime allows a regulated a mount of revenue collection by the company by performing desired controls (Action, 2011). In order for the company to perform well, it seeks assistance from the government.

The government at times offers financial assistance to the company to aid the widening of the national grid. The company provides succinct plans for improving the national grade, which earns it a government endorsement for collecting revenue. The plans must be convincing to the government to allow the request that the company presents (MacInnes, 2011). 2.0 Overview of the national grid of New Zealand Figure 1: The electricity grid in rural New Zealand, Retrieved on 6Th May 2012 from < http://www.victoria.ac.

nz/physics-resource-centre//demos/Circuits_and_Electromagnetism/PowerGrid/PowerGrid.htm > Transpower company owns the grid which is over 11000 Km in length. It conveys lines having high current plus voltage. The power conveyance in the entire country occurs via over 175 stations constructed by Transpower Company at different areas (Luke, Kearins & Verreynne, 2010). The construction of the stations is strategic in order to serve the needs of the population in different regions. Since the source of power is hydroelectric, stations for producing electricity are evident near large water bodies, usually, in the southern regions of New Zealand (Luke et al., 2010). The northern parts of New Zealand have a higher power need than other regions hence long distance conveyance is evident.

Covering the distance from the south to the northern regions is expensive. However, the commercial commission works in conjunction with the Transpower Company in order to perform proper plans for conveying electricity to needing areas (Action, 2011). Figure 2: Te Uku wind power project near Hamilton, New Zealand, Retrieved on 6Th May 2012 from < http://www.instalbiz.com/news/3-full-news-nz-siemens-to-supply-wind-turbines-for-new-zealand-wind-power-farm_117.html > 2.1 Background of power generation in New Zealand In New Zealand, the first power station lied in Bullendale region near Otago.

There existed a mining centre in the region, which the power generation aimed to serve (Luke et al., 201