Contact Energy's Proposed Acquisition of Manawa Faces Commission Scrutiny

The Commerce Commission is set to issue a Statement of Issues for Contact Energy Limited’s proposed acquisition of 100% of the shares in Manawa Energy Limited. This Statement will detail potential competition concerns detected during the Commission’s preliminary investigation into the merger between the two New Zealand electricity wholesalers. It is important to note that this does not represent a final ruling, nor does it suggest a denial or approval of the merger application. Instead, it invites feedback from Contact, Manawa, and other relevant parties—ensuring transparency and thorough consideration of competition factors. Initially, the Commission’s decision was anticipated by December 24, 2024, but an extension places the new decision date on March 31, 2025. Both Contact and Manawa are active in New Zealand’s electricity wholesale market, with Contact also serving retail customers. The Commission stresses that it will only approve the merger if it’s convinced the move won't significantly dampen market competition.