New Lakes Agreement

Press, Volume CII, Issue 30211, 16 August 1963, Page 16

New Lakes Agreement

(N.Z Press Association)

WELLINGTON, Aug. 15.

A new agreement between Comalco Pty., Ltd., and the Government on the water rights of the Manapouri-Te Anau lakes w r as signed today by the Minister of Works (Mr Goosman) and Sir Maurice Maw by, chairman of Consolidated Zinc-Rio Tinto, Ltd., of Australia, parent company of Comalco. The agreement replaces one reached in 1960 which granted the water rights to Comalco for 99 years. Under that agreement Comalco would have paid royalties for the water rights which it was to develop as

the power source for an aluminium smelting industry in the Invercargill-Bluff area. The decision to re-negoti-ate the agreement was taken alter the present Government learned that Comalco could not proceed immediately with the power development. It was then jointly proposed by the Government and by the company that Comalco’s water rights should be returned to the Crown in return for rights to hydro-electric power from these resources.

The Government proposed to slow down the construction of Aviemore power station on the Waitaki river, but to proceed as quickly as

possible with the development of the Manapouri-Te Anau scheme w'ith the aim of completing it by mid-1968.

The Government will obtain the equivalent of Aviemore power from the Manapouri scheme and will have temporary use of any surplus not required by the company.

The terms of an agreement on these lines have been under study by Comalco representatives and the Government during the first half of this year and the agreement will be submitted to Parliament for ratification.

The picture above shows Mr Goosman and Sir Maurice Mawby signing the agreement.