Power up under regional govt?

Press, Volume CXV, Issue 33981, 23 October 1975, Page 3

Power up under regional govt?

(Neu) Zealand Press Association) . WELLINGTON. ' Electricity consumers in power-board areas could pay between s3m and sl6m more a year for their electricity if the supply is taken over by regional government.

This assertion is made by i the New Zealand Power ; Boards' Association, which savs that the increases i could affect 72 per cent of i all consumers. as the I majority of them live ini power-board areas which I (also supply the greatest)! amount of electricity. ' (i “New Zealand’s electric-(; power boards provide powert {at a cheaper rate than any I. (other supply organisation—l; (and if it is to stay that way, (we must keep power boards!: out of any territorial): authorities formed under the); new regional governmental I structures,” said Mr L. C. ji Harrison, president of then Power Boards Association, li INCREASE IN COSTS ,( Among the host of prob-/ lems amalgamation under the!' Local Government Act' would bring, an increase in power costs was a major ii consideration, Mr Harrison |i said. it “Last year, our boards i charged consumers an ' average 1.372 per unit of 1 electricity, while city coun- 1 cils were charging 1.424 c and 1 borough councils 1,453 c,” he < said. “If we are amalgamated 1 with municipal authorities. <

icharges will certainly rise to' at least the last two figures.”; This would mean an extra) cost to power-board consumers of more than! $3,250,000 if charged at city) council rates; $6,250,000 at) borough rates; and almost' isl6m at Electricity Depart-! ; menr rates, which apply in! (Southland." I The figures Mr Harrison (quoted are from the annual (statistics of the Electricity ■Department for the year to (March 31. The average selling price is the over-all (average revenue a unit of! (electricity sold to domestic (consumers, farms, shops, and (factories. The average: (revenue for all units of elec-' (tricity sold throughout New! (Zealand last year was 1.392 c, (compared with the power (board’s average of 1.372 c. “Coupled with all the (other problems of amalgama-i |ti,on, the increase would, (contribute to an intolerable, situation.” Mr Harrison said.! “Not only would consumers! have to pay more for theiri power, but they would find! themselves having.to pay for): electricity to make a profit top finance reading, or drainage.) or some other city operation, ti