National Energy Policy

Press, Volume CIII, Issue 30497, 20 July 1964, Page 10

National Energy Policy

Two factors have contributed to the new energy problem that threatens the North Island directly and the South Island indirectly. The ■ first is the changing pattern of North Island power demand through the increased use of electricity for space heating; the second is the discovery that the Wairakei geothermal bores all tap the same source of heat The space-heating trend had been noted for some years; but it has sharply accelerated in the last year, apparently as a consequence of television. Persons watching television seem to prefer electric radiators to open fires; and in some families members with other interests use radiators simultaneously in different rooms. The change is now so marked that it will probably affect the method of charging for electricity, presumably leading to higher bills. What the Minister of Electricity (Mr Shand) terms “ emergency provision ’’—presumably steam’ genera-tion-will now have to be made to meet peak demands far exceeding those predicted statistically even a few years ago on the basis of relatively lower peaks in the North Island than in the South Island. The problem is not made easier by the need for caution in developing Wairakei and the expected demand, of new industries, principally the iron and steel industry. The time when electrical supply problems could be overcome merely by building new hydro-electric stations has apparently ended. Indeed, Mr Shand believes that at the present rate our hydro-electric potential will be virtually exhausted in 15 to 20 years. That underlines the need, so often reiterated, for New Zealand to prepare a comprehensive’ national energy policy to make the best use of all sources of power, including coal, natural gas, and now, surplus fuel oil from the Whangarei refinery. The first step must be a survey of energy sources and demand, not overlooking the fact that even the best forecasts have consistently understated the demand. When the relevant information is available some authority should be charged with securing co-ordination, taking into account not only the interests of particular industries and groups but above all, the national interest.