Proposed power tariff rise ‘grossly unfair’

Press, 10 October 1984, Page 8

Proposed power tariff rise ‘grossly unfair’

Treasury proposals for a “substantial” increase in the bulk power tariff have been strongly condemned by the chairman of one of Canterbury’s larger power authorities. The chairman of the Central Canterbury Electric Power Board, Mr Murray Faulkner, said yesterday that proposals for a5O per ■ cent rise in the bulk tariff were grossly unfair to both 1 consumers and the power 1 supply industry as a whole. Canterbury manufacturers would be particularly affected, he said, as the competitiveness of exports ' would suffer if such a vital ingredient of costs as electricity was to rise. A stable pricing policy was essential to manufacturers when planning input costs, said Mr Faulkner. Aqy substantial rise in the

price of electricity would have considerable effects on primary producers and on the rural sector, especially farms with irrigation equipment, he said. “For low-income earners, both domestic and rural, any increase at this stage would be a real slap in the face,” said Mr Faulkner. The Labour Government had stated clearly that one of its aims was to assist those on low incomes. “Electricity provides many of those people with .their principal energy source and the cost of living already imposes sufficient pressure on these people.” "Consumers and the industry should not be called upon to satisfy the fantasies of economic experts,” said ! Mr Faulkner.