Power ‘carrot'

Press, Volume CXIV, Issue 33541, 23 May 1974, Page 14

Power ‘carrot'

.V Z. Press Association)

AUCKLAND, May 22.

The best way to achieve electric power savings was to produce a price system with economic incentives for consumers, said a staff scientist with the New York-based Environmental Defence Fund (Dr Ernst Habicht) in Auckland today.

Dr Habicht. one of three American speakers at the energy conference tomorrow, said his organisation had developed a piece of equipment that could be added to electricity meters to produce the incentive.

It cost about $lO to make and $5 to install, and related household consumption to the time of day at which it was consumed.

This meant that the power authority could charge more for electricity used at peak times. Consumers knew that if they used an appliance at peak times it would cost them much more. Dr Habicht led an investigation of rate structures and pricing policies in the United States.

“We discovered that altering the pricing structures could be most beneficial to the environment,” said Dr Habicht. “If people save power at peak times the inefficient and resources-costly power stations need not be run. And it became unnecessary to build so many more power stations.”