Following the Commerce Commission announcement last Thursday’s that it was recommending price control for gas networks companies Vector and Powerco, Genesis said it would pass on transmission and distribution charges to electricity and gas “without any margin”.

But that didn’t stop the company from also announcing average cost increases of 14.4% from February for residential gas customers. Genesis said increasing wholesale costs of gas and escalating transmission and distribution charges had forced it to hike gas prices, though it later said Vector had not increased its charges.

Genesis is the first big gas retailer to clarify its position regarding who should benefit from the commission’s proposals. Genesis’ main rivals Mercury Energy and Contact Energy had not, by midday Monday, issued statements about the commission’s recommendations.

Genesis chief Murray Jackson also restated his company’s commitment to supplying gas to customers, saying its involvement in the offshore Taranaki Kupe field and onshore Taranaki Cardiff-2 well should ensure plentiful gas for commercial, industrial and residential customers for years to come. Genesis was also encouraging more customers to use gas for home heating and cooking.