New Zealand Acts

COMMERCE ACT 1986 - SCHEDULE 1AA

SCHEDULE 1AA – Transitional, savings, and related provisions

s 6C

History: Schedule 1AA: inserted, on 15 August 2017, by section 36 of the Commerce (Cartels and Other Matters) Amendment Act 2017 (2017 No 40).

1 - Provisions relating to Commerce (Cartels and Other Matters) Amendment Act 2017

1 Interpretation

1 In this Part,
"Amendment Act 2017" means the Commerce (Cartels and Other Matters) Amendment Act 2017 .

2 In this Part,—

a) a reference to section 30 , section 58A , section 65A , or section 80A (or a provision of that section) is a reference to that section (or provision) as amended, inserted, or substituted by the Amendment Act 2017 (subject to paragraph (b)); and

b) a reference to a former section (for example, former section 30) is a reference to that section as in force immediately before the commencement of this clause.

2 Transitional provisions for cartel prohibition under section 30

1 Section 30(1)(a) (which relates to entering into a contract or an arrangement, or arriving at an understanding, that contains a cartel provision) applies only to contracts, arrangements, or understandings that are entered into or arrived at after section 30 comes into force.

2 Section 30(1)(b) (which relates to giving effect to a cartel provision in a contract, arrangement, or understanding) applies only to conduct occurring after section 30 comes into force, but applies whether the contract, arrangement, or understanding is entered into or arrived at before or after section 30 comes into force, and whether or not the contract, arrangement, or understanding has been suspended at any time.

3 Subclauses (4) to (6) apply to a contract, arrangement, or understanding that was entered into or arrived at before the commencement of section 30 and that, at the time of that commencement, contained or may have contained a cartel provision.

4 Despite subclause (2), no proceedings under section 80, 80B, 80C, 81, or 82 may be commenced for a contravention of section 30(1)(b) or 80A occurring during the transitional period.

5 However,—

a) proceedings under former section 80 or 80C, or section 81 or 82 , may be commenced in relation to conduct occurring during the transitional period as if former sections 30 to 33 were still in force during the transitional period; and

b) proceedings under section 80B may be commenced for a contravention of former section 80A occurring during the transitional period.

6 Former sections 30 to 33, 80, 80A, and 80C continue to have effect as if those sections had not been repealed or amended by the Amendment Act 2017, and section 89 continues to apply, for the purpose of—

a) investigating a contravention to which subclause (5) applies:

b) commencing or completing proceedings to which subclause (5) applies:

c) imposing a penalty or other remedy or making an order in proceedings to which subclause (5) applies.

7 In this section,
"transitional period" means the 9-month period starting on the commencement of section 30 .

History: Schedule 1AA clause 2(1): amended, on 8 April 2021, by section 13(1) of the Commerce (Criminalisation of Cartels) Amendment Act 2019 (2019 No 9).   Schedule 1AA clause 2(2): amended, on 8 April 2021, by section 13(2) of the Commerce (Criminalisation of Cartels) Amendment Act 2019 (2019 No 9).     Schedule 1AA clause 2(3): amended, on 8 April 2021, by section 13(3) of the Commerce (Criminalisation of Cartels) Amendment Act 2019 (2019 No 9).  

3 Transitional provision for authorisations under section 58

Section 58A(1) and (2) applies to an authorisation that is given either before or after section 12 of the Amendment Act 2017 comes into force.

4 Transitional provision relating to amendments to Shipping Act 1987

[Repealed]

History: Schedule 1AA clause 4: repealed, on the close of 13 August 2019, by Schedule 1AA clause 4(3) .

5 Transitional provision for offences and contraventions under repealed or amended provisions

1 This clause applies to an offence committed under, or a contravention of, any provision of this Act repealed or amended by the Amendment Act 2017 before the commencement of the provision that repealed or amended that provision.

2 The provisions repealed or amended by the Amendment Act 2017 continue to have effect as if they had not been repealed or amended for the purpose of—

a) investigating an offence or a contravention to which this clause applies:

b) commencing or completing proceedings for an offence or a contravention to which this clause applies:

c) imposing a penalty, or making an order, in relation to an offence or a contravention to which this clause applies.

2 - Provisions relating to Commerce Amendment Act 2018

History: Schedule 1AA Part 2: inserted, on 26 October 2018, by section 21 of the Commerce Amendment Act 2018 (2018 No 42).

6 Interpretation

1 In this Part,—  
"Amendment Act 2018" means the Commerce Amendment Act 2018     
"commencement date" means the date on which section 12 of the Amendment Act 2018 comes into force    
"Commissioner" has the meaning given in former section 2(1)     
"outstanding application" means an application for a cease and desist order under former section 74B(b) that was—  

a) made by an employee of the Commission before the commencement date; but

b) not determined by a Commissioner (either by making, or declining to make, an order) before the commencement date.

2 In this Part, a reference to a former section (for example, former section 74B(b)) is a reference to that section as in force immediately before the commencement date.

7 Term of appointment of cease and desist Commissioners

1 If there are no outstanding applications, the Commissioners cease to hold office on the commencement date.

2 If there are 1 or more outstanding applications, the Commissioners continue in office under the notice of appointment made under former section 74AA .

8 Applications for cease and desist orders made before commencement

Former sections 74A to 74C remain in force for the purposes of allowing a Commissioner to consider and determine an outstanding application.

9 Cease and desist orders continued

1 The following continue in force on and from the commencement date:

a) cease and desist orders made before the commencement date:

b) cease and desist orders made on or after the commencement date in accordance with clause 8 .

2 Former section 74D continues to apply in relation to the orders described in subclause (1).

3 The High Court, on an application by the Commission or a person subject to a cease and desist order, may amend or revoke an order continued by subclause (1).

10 Entitlement to appeal cease and desist order

1 Former section 92(f) remains in force for the purpose of allowing a person to appeal against a determination of a Commissioner under former section 74A .

2 Subclause (1) applies irrespective of whether the determination was made—

a) before the commencement date; or

b) in accordance with clause 8 , on or after the commencement date.

11 Court may not refer appeals back for reconsideration

1 This clause applies if—

a) the Commissioners have ceased to hold office, either under clause 7(1) or because the term of appointment referred to in former section 74AA(3)(a)(ii) has expired; but

b) an appeal against a determination of a Commissioner under former section 74A is being considered by the High Court.

2 The High Court—

a) must determine the appeal under section 93 ; and

b) despite section 94 , must not refer any matter relating to the appeal back to the Commissioners to reconsider.

3 - Provision relating to COVID-19 Response (Further Management Measures) Legislation Act 2020

History: Schedule 1AA Part 3: inserted, on 16 May 2020, by section 3 of the COVID-19 Response (Further Management Measures) Legislation Act 2020 (2020 No 13).

12 Application of provisions after repeal

1 For the purposes of an application that is made during the epidemic period, sections 65AA to 65AD continue to apply as if they remained in force, despite their repeal by section 65AE , to the application including in relation to—

a) any authorisation or provisional authorisation granted on the application:

b) any appeal in relation to a determination of the Commission on the application.

2 Subclause (1) applies on and after section 65AE repeals sections 65AA to 65AD . If the epidemic period, as defined in section 65AA(1) , ends on the date on which section 24 of the Commerce Amendment Act 2022 comes into force, see clause 20 .

History: Schedule 1AA clause 12: inserted, on 16 May 2020, by section 3 of the COVID-19 Response (Further Management Measures) Legislation Act 2020 (2020 No 13).   Schedule 1AA clause 12(2): inserted, on 5 April 2023, by section 48(2) of the Commerce Amendment Act 2022 (2022 No 11).  

4 - Provisions relating to Commerce (Grocery Sector Covenants) Amendment Act 2022

History: Schedule 1AA Part 4: inserted, on 30 June 2022, by section 5 of the Commerce (Grocery Sector Covenants) Amendment Act 2022 (2022 No 35).

13 Interpretation

In this Part, unless the context otherwise requires,—  
"Amendment Act" means the Commerce (Grocery Sector Covenants) Amendment Act 2022     
"commencement date" means the day after the date on which the Amendment Act receives the Royal assent    
"covenant" has the same meaning as in section 28A     
"designation date" , in relation to a person that becomes a designated grocery retailer after the commencement date, means the day on which that person becomes a designated grocery retailer (for example, if the person is designated as a designated grocery retailer under section 28C , the designation date is the day on which the Order in Council making the designation comes into force).  

History: Schedule 1AA clause 13: inserted, on 30 June 2022, by section 5 of the Commerce (Grocery Sector Covenants) Amendment Act 2022 (2022 No 35).

14 Amendment Act applies to existing covenants

1 Section 28A applies in relation to any action referred to in section 27 or 28 that is taken on or after the commencement date, whether the covenant was given before, on, or after the commencement date.

2 If a person becomes a designated grocery retailer after the commencement date, section 28A applies in relation to any action referred to in section 27 or 28 that is taken on or after the person’s designation date, whether the covenant was given before, on, or after the designation date.

History: Schedule 1AA clause 14: inserted, on 30 June 2022, by section 5 of the Commerce (Grocery Sector Covenants) Amendment Act 2022 (2022 No 35).

15 Transitional arrangements for voluntary removal of grocery-related covenant initiated before repeal of section 28B

1 This clause applies to a revocation or modification that is initiated under section 28B before the date specified in section 28B(5) (the
"repeal date" ).

2 Section 28B , as it was immediately before the repeal date, continues to apply in relation to that revocation or modification on and after the repeal date.

History: Schedule 1AA clause 15: inserted, on 30 June 2022, by section 5 of the Commerce (Grocery Sector Covenants) Amendment Act 2022 (2022 No 35).

5 - Provisions relating to Commerce Amendment Act 2022

History: Schedule 1AA Part 5: inserted, on 5 October 2022, by section 48(2) of the Commerce Amendment Act 2022 (2022 No 11).

16 Interpretation

1 In this Part,—  
"1-year transitional period" means the period that starts on the commencement date and ends at the close of the first anniversary of the commencement date    
"Amendment Act" means the Commerce Amendment Act 2022     
"commencement date" means the first anniversary of Royal assent for the Amendment Act.  

2 In this Part,—

a) a reference to a section or Part (for example, section 36 ) is a reference to that section as in force on and from the commencement date; and

b) a reference to a former section or Part (for example, former Part 2) is a reference to that section or Part as in force immediately before the commencement date.

History: Schedule 1AA clause 16: inserted, on 5 October 2022, by section 48(2) of the Commerce Amendment Act 2022 (2022 No 11).

17 Authorisation under new section 58(6A) to (6D) may be granted before that section comes into force

1 This clause applies—

a) before the commencement date; but

b) as if sections 30, 36, 36A, 58(6A) to (6D), 58B, 59, 59A, and 61 were in force.

2 A person may apply to the Commission under section 58(6A) to (6D) for an authorisation.

3 The Commission may grant the authorisation.

4 Sections 58B, 59, 59A, and 61 apply in relation to an application made under this clause.

5 An authorisation granted under this clause may only take effect on or after the commencement date.

History: Schedule 1AA clause 17: inserted, on 5 October 2022, by section 48(2) of the Commerce Amendment Act 2022 (2022 No 11).

18 Application of cartel prohibition to covenants in force before commencement date

During the 1-year transitional period, nothing in section 30(1)(b) applies in relation to a covenant that is given, or required to be given, before the commencement date.

History: Schedule 1AA clause 18: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

19 Application of sections 36 and 36A to contracts, arrangements, understandings, and covenants in force before commencement date

Sections 36 and 36A apply to conduct that gives effect to a contract, arrangement, understanding, or covenant whether—

a) the contract or arrangement was entered into before, on, or after the commencement date; or

b) the understanding was arrived at before, on, or after the commencement date; or

c) the covenant was given, or required to be given, before, on, or after the commencement date.

History: Schedule 1AA clause 19: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

20 Conduct authorised before sections 36 and 36A replaced continues to be authorised

1 Nothing in section 36 or 36A applies to any conduct—

a) to which former Part 2 applied; and

b) that, before the commencement date, was authorised under the former Part 5.

2 Nothing in section 36 or 36A applies to any conduct—

a) to which former Part 2 applied; and

b) in respect of which an application for an authorisation under the former Part 5 was—

i) made before the commencement date; and

ii) approved on or after the commencement date.

3 See former sections 36(1) and 36A(1).

History: Schedule 1AA clause 20: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

21 Application of former section 45 to existing statutory intellectual property rights

Despite its repeal, former section 45(1)(b) continues to apply during the 1-year transitional period in relation to a contract, arrangement, or understanding that was—

a) described in former section 45(1)(a) ; and

b) entered into, or arrived at, before the commencement date.

History: Schedule 1AA clause 21: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

22 Sections 58A, 58B, and 59 apply to existing authorisations

Sections 58A, 58B, and 59 apply to an authorisation granted by the Commission under former section 58 before the commencement date.

History: Schedule 1AA clause 22: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

23 Savings provisions if epidemic period under sections 65AA to 65AD ended by Amendment Act

1 This clause applies if the epidemic period, as defined in section 65AA(1) , ends on the date on which section 24 of the Amendment Act comes into force (see section 65AA(1)(b)(ii) .

2 If this clause applies, it applies in relation to the following applications for an authorisation that are made on or after the date on which the epidemic period ends but before the close of the 6-month period that starts on the date on which the Epidemic Preparedness (COVID-19) Notice 2020 expires or is revoked:

a) an application for an authorisation under section 58(1), (2), or (6B) :

b) an application for an authorisation under section 58(6D) that relates to giving effect to a provision of a contract, arrangement, or understanding that is, or may be, a cartel provision.

3 Despite section 60(1) , the Commission may, in its discretion, waive all or part of any fee payable for the application.

4 Despite section 61(5) , the Commission may, in its discretion, determine the application without complying with section 62 .

History: Schedule 1AA clause 23: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

24 Section 65B applies to existing clearances

Section 65B applies to a clearance given by the Commission under former section 65A before the commencement date.

History: Schedule 1AA clause 24: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

25 Section 69 applies to existing clearances and authorisations

Section 69 applies in relation to a clearance or an authorisation whether the clearance was given, or the authorisation was granted, before, on, or after the commencement date.

History: Schedule 1AA clause 25: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

26 Court may make order in relation to covenant only if given on or after commencement date

Section 80C applies to a covenant only if the covenant is given, or required to be given, on or after the commencement date.

History: Schedule 1AA clause 26: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

27 Offence under section 82B(1)(b) does not apply in relation to covenants given before commencement date

Section 82B(1)(b) does not apply to a person who gives effect to a cartel provision in a covenant given, or required to be given, before the commencement date.

History: Schedule 1AA clause 27: inserted, on 5 April 2023, by section 48(3) of the Commerce Amendment Act 2022 (2022 No 11).

6 - Provisions relating to Local Government (Water Services) Act 2025

History: Schedule 1AA Part 6: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).

28 Interpretation in this Part

In this Part, unless the context otherwise requires,—  
"Preliminary Arrangements Act 2024" means the Local Government (Water Services Preliminary Arrangements) Act 2024     
"section 52P determination" has the same meaning as in section 52C .  

History: Schedule 1AA clause 28: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).

29 Transition in respect of information disclosure requirements for purpose of economic regulation

1 The Commission must, before 1 July 2026, make 1 or more section 52P determinations specifying how information disclosure regulation imposed under subpart 12 of Part 4 of this Act will apply to any entities that are specified under section 39 of the Preliminary Arrangements Act 2024 as being subject to foundational information disclosure.

2 On and after 1 July 2026,—

a) that or those section 52P determinations apply to those entities; but

b) any foundational information disclosure requirements imposed under the Preliminary Arrangements Act 2024 continue to apply in relation to the financial year ending on 30 June 2026 if the disclosure date under section 44(1)(g) of that Act is on or before 31 December 2026 (and those requirements may be enforced under that Act, despite the commencement of the provisions in the Local Government (Water Services) (Repeals and Amendments) Act 2025 that amend this Act); and

c) no foundational information disclosure requirements under the Preliminary Arrangements Act 2024 apply in relation to the financial year ending on 30 June 2027 or any later years.

3 An entity may not be declared to be a specified entity under section 39 of the Preliminary Arrangements Act 2024 after the commencement of the Local Government (Water Services) Act 2025 .

4 Any consultation undertaken under section 40 of the Preliminary Arrangements Act 2024 is treated as also having been undertaken for the purposes of clause 35 of Schedule 7 of this Act.

History: Schedule 1AA clause 29: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).

30 Transition in respect of economic regulation of Watercare Services Limited

1 In this clause, unless the context otherwise requires,—  
"end-date of the first regulatory period" means the end-date of the first time period in respect of economic regulation of Watercare Services Limited under the Watercare charter made under Part 4 of the Preliminary Arrangements Act 2024, being—  

a) the date specified under section 78(b)(ii) of that Act; or

b) any earlier or later date determined by the Minister under clause 31 .

2 The Commission must, before the end-date of the first regulatory period, make a section 52P determination specifying how price-quality regulation imposed under subpart 12 of Part 4 of this Act will apply to Watercare Services Limited and any subsidiary of Watercare Services Limited under section 57F of this Act.

3 On and after that end-date,—

a) that section 52P determination applies to those entities; and

b) any price-quality path set under the Watercare charter under the Preliminary Arrangements Act 2024 no longer applies to those entities.

4 Subject to this clause, Part 4 of the Preliminary Arrangements Act 2024 continues in force, and may be enforced under that Act, despite the commencement of the provisions in the Local Government (Water Services) (Repeals and Amendments) Act 2025 that amend this Act.

History: Schedule 1AA clause 30: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).

31 Commission may recommend alteration of first regulatory period that applies under Preliminary Arrangements Act 2024

1 The Commission may recommend to the Minister responsible for the Preliminary Arrangements Act 2024 and the Minister responsible for this Act that the end-date of the first regulatory period that applies under the Preliminary Arrangements Act 2024 be—

a) extended; or

b) brought forward to an earlier date.

2 The Commission may make that recommendation only if it considers that the recommendation would better promote the purpose of Part 4 of this Act.

3 The Minister responsible for the Preliminary Arrangements Act 2024 may take that recommendation into account if acting under section 77 of that Act and may recommend to the Governor-General that the time period during which the charter applies for the purpose of section 78(b)(ii) of that Act be amended.

History: Schedule 1AA clause 31: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).

32 Transition for recovery of costs of Commission

1 Levy regulations made under section 53ZE may provide for the recovery of the costs of the Commission in respect of the Commission's functions, powers, and duties under the Preliminary Arrangements Act 2024.

2 However, subclause (1) does not apply to expenses incurred by the Crown monitor in relation to monitoring Watercare that are referred to in section 89(1)(a) of the Preliminary Arrangements Act 2024 (which costs continue to be recoverable from Watercare under that section 89).

3 Any consultation referred to in subclause (4) must be treated as having been undertaken for the purposes of section 53ZE(4) .

4 The consultation is any consultation undertaken by the Minister with suppliers of water services, or representatives of those suppliers, that—

a) occurred at any time between 1 November 2024 and 28 February 2025; and

b) related to levies to meet the costs of performing the Commission’s functions, powers, and duties in connection with subpart 12 of Part 4 and Schedule 7 of this Act (and the costs of collecting the levy money).

History: Schedule 1AA clause 32: inserted, on 27 August 2025, by section 24(a) of the Local Government (Water Services) (Repeals and Amendments) Act 2025 (2025 No 43).