WAIPORI POWER

Evening Star, Issue 20555, 6 August 1930, Page 6

WAIPORI POWER

SCHEMES FOR DEVELOPMENT NEGOTIATIONS BETWEEN GOVERNMENT AND COUNCIL COUNCILLOR SHACKLOCK OUTLINES POSITION. In an address to members of the Dunedin Ratepayers’ Association last night, Cr J. B. Shacklock (chairman of the Electric Power and Lighting Committee) outlined in detail the position of the City Council in regard to the Waipori electric power scheme. He also spoke of risks that had to be faced in connection with the present installation, and made reference to the negotiations which woro taking place between the council and tho Government in regard to rights for ground below the existing stations. Dr'Newlancls (the vice-presi-dent of the association) was in tho chair. TALK ON RATES. Before developing his main theme, Cr Shacklock referred briefly to a remark that had been made regarding “mystery ” charges, and said that he could only say again what he had said many times to councillors: “ For goodness' sake just leave these rates alone, or you may find yourself out of the frying pan into the fire.” Very often councillors had twitted him on the subject, and when alterations bad been made he had been told that it did not matter how greatly the rates were reduced—the department could always get more money out of the people. The nest course, perhaps, was to leave well alone. The charges here were made on the maximum demand system, with capacity charges. Capacity charges were unpopular, but one authoritative board in-,America was of the opinion that a maximum demand charge in conjunction with a capacity charge was the fairest of all methods. “ DISTINCTLY DISSATISFIED.” As regards Waipori they all knew something of what had gone on in the past, and he took it that their desire was to discuss the matter as they found it to-day. As he had said before, he was distinctly dissatisfied with the position in which they had found themselves, due to the delay in the construction of the 110 ft dam they were erecting in the river. It had been expected that it would be beginning to fill at this time. The holding capacity of the lake would be considerable when the dam w r as ready a 105 ft—the capacity, in fact, would be considerablyVover double the former quantity. The figures in this connection would be such that it would be almost impossible for people to talk in gallons. The council had been criticised more or less because of the delay in the construction of tho dam, but there were many reasons for the set-backs. Tho most recent trouble they had had was that of drought. They must remember that last summer had been exceptionally dry. Until the end of December they had had ample water in the lake, but shortly after that the rainfall fell away very quickly, and they had had. exceedingly little since January. The water began to fall very considerably, and they had had difficulty in tiding themselves over the duration of the drought. That was one of the troubles that hydro-electric concerns had to put up with. The speaker quoted from an overseas journal to show that the same trouble prevailed in America. THE PIPE LINE SLIP. The present generating capacity, continued Or Shacklock, was 14,000 kilowatts. Eighteen months or so ago they had bad to order a generator for installation, and also pipe lines to bring the water down to that generator. They would remember that after the pipes on order were laid it began to snow, with the result that the pipe lines slipped down the hill. This was something they still had to think about. As a result of this they had the position examined by the Government geologist and the Public Works Department engineer. The council was strongly advised that, since the run of the pipe lines was already overloaded, they should hesitate before putting any more loading on it. The geologist said that on the site there was an ancient slip, perhaps 2,000 or 3,000 years old. Geological opinion was unanimous on the point that it would bo unsafe for further loading, and the matter was under consideration as to how the water should bo brought down in anv further quantity than they now required. The generator was now erected in the power station, but because of tho inability to bring down sufficient water the machine was only partially loaded. The No. 1 power station was not in a position to take the load, but it was fust on the point of taking it. LOOKING AHEAD. It had been a long, drawn-out business, and it had been hoped that this particular’plant would have been running long before this. However, as far as that plant was concerned, their difficulty ‘would soon be over. At tho present rate of increase they could only assume that the draw in power would be the same during the next few years as it had been in the past. They could hardly bo expected to go through the present depression in trade without a fall. However, they must be guided by what had taken place lately. It was thought that with No. 1 and 2 stations in operation, tho estimated demand would require a generating capacity of 24,000 kilowatts, and this could be handled only after tho pipes had been completed, and after tho water had been brought from tho tunnel outlet to the machines. As they had been so strongly advised nob to load tho ground any further they were now considering the possibility of a drive into the hill. Then they could put in an almost vertical shaft right up to about the outlet of the tunnel. That particular part had been bored to locate tho ham rock of the country, for it was particularly necessary that tho tunnel should bo in hard rock. Unless they knew whore that hard rode was they could not prepare their estimates exactly. Whether tho scheme would be too costly or not they could not say, but they were of the opinion that it would not be too costly. An engineering professor was coming from Sweden to examine the Arapuni project, and it seemed to some of the councillors (although the, matter bad nob come up in an official manner) that it would bo an 1 advantage to get him to come down and have a look over tho site and see if his opinion conformed with that which had already been worked out. A hundred pounds or so spent in that way might save them greater expense later on. (“ Hear, hear.”). “ I don’t say the council will do this,” said Mr Shacklock, “ but it is what some of us are thinking should bo done.” COINCIDING WITH WAITAKI. In connection with the works already outlined, it was _ thought _ that they would require this generating capacity of 24,000 kilowatts in six or seven years’ time, and this would coincide

with tho Government’s plant in the Waitaki. Tho output of Waipori—the maximum amount that could bo looked for—was 32,000 kilowatts. . The river had a fall between their dam and Berwick of roughly I,oooft, and tho advisability had at ouo time been discussed of shifting the works down to Berwick, but the proposal was dropped because of the huge cost involved. QUESTION OF RIGHTS. In six or seven years’ time, then they would require 24,000 kilowatts from the two stations, and the problem was: What would they do next to get the output of the river? They might get it from stations 3 and 4, but they had no right to go below their present stations, for they could not put a dam on ground lower down. Their rights in that respect were clearly defined. When the city engineer went into the matter he recommended that they should establish a dam 700 ft lower down, a method by means of which he thought they would save nearly tho £200,000. It was worth while, but they found that they had no right to do that. When they applied for half a mile of river and set a dam somewhere within that half mile they had to get a Bill amended to put the matter through. The same applied in the present instance. They started out to get the rights for these two stations lower down and they had not got them yet. Some time ago they visited Wellington with the object of getting the rights, and while they were there the lew a immediately cropped up that the completion of these works would coincide with the work on the Waitaki, and they were asked: “ What about getting power from us? ” They had to admit that if it could be done for as little money as their own project it would be worth doing. Tho suggestion came from the Government that if the City Council would sell its interests in Waipori the Government would pay what it, cost the council, and supply current at what it was costing the council to generate. Had the council been able to complete those terms a good contract would have been arranged, but they must realise that it was a very complex question. At that time £600,000 had been spent on Waipori, and as negotiations went on there came an ultimate split over the annual amount which the council would bo expected to pay. SALE TO GOVERNMENT OFF. They could take it now that the proposal to sell to the Government was quite off and the question was not likely to be reopened. Every aspect of the matter had been discussed. The Government, of course, had its own troubles at Arapuni. As it happened, the council was forced to turn down the negotiations _ for the whole enterprise. Negotiations were still going on as far as stations down the river were concerned, and a local Bill was now before the House. It was hoped that the matter would be before the committee, and they trusted that they would bo successful in_ getting it through. At the same time the Government, instead of giving the council the right to develop these stations, might ask them to buy from Waitaki. If they got 8,000 horse-power on a suitable contract they might take it iu preference to tho other stations. If the council were given the right to go on with its enterprise the development would probably cost £200,000, and ;.t the end of six years they would have £BOO,OOO in Waipori. And some years hence they would have £1,250,000 in. money there, so that they would see tho capital investment was a considerable item. CONSIDERATION OF RISKS. They did not expect anything in the nature of a calamity. Tho \Vaipon Gorge seemed quite • free from risks, but of course one never knew lor certain. For example, they did not know if they had yet seen, the biggest flood that was possible in the Leith, for they had only a period of eighty years or so to embrace their experiences. There might be something possible in the way of floods which they knew nothing about. If anything like that happened they would see what a risk the city was taking. At present the dominion as a whole was helping to carry Auckland through her trouble, but if anything happened to Waipori Dunedin would have to bear the whole burden. They did not want to preach disaster, and they had no reason to expect that anything would, happen; but there was one very important item that had to be looked into when it came to consideration of purchase from Waitaki, and that was the question of intercommunication and a standby plant. Quite recently they had had an example of what would happen if Waipori went out altogether. On a larger scale it would just bo the same effect as last Sunday. If Waipori went out for a day, a week, or a month, with tho city hanging on a wire thirty-three miles long, what would be the effect? They would soon realise that .Waipori was the heart of Dunedin. Without it the city would be down and out. In their freezing works and cool stores they had a great deal of valuable foodstuffs hanging on these wires. Could they afford .to carry such a responsibility? The risk would be removed as early as possible by linking up with some available station, and that could bo only Waitaki. COMING OF THE STEAM PLANT. Nowadays it seemed to him that these public utilities had to be paid for in much shorter time than was the case at one period. It seemed to him that this concern should be paid for in about fifty years, and he was afraid it was not possible unless there was a change somewhere. When the railways had no opposition they did all right, but now that competition existed there was a big loss every year. The same thing applied to the trams. If the tramways had been paid for, and thus been the property of tho city, they could have afforded to scrap them and let now ideas take their place. But they were tied band and foot by cases in which obsolete machinery was unpaid for. Hydro plants were very efficient, but more would be heard of steam than had been hoard in the past. For twenty years hydro /plants, had been favoured, but competition was coming, and it would be from steam. There were indications that in ten years’ time the steam plant would be much more in the limelight than it was to-day. In support of his remarks the Speaker said that a steam plant had been added to one of the largest hydro-electric works in California, and that in Leeds, where the power was generated by steam, the prices were as low as their own. They boned to be in a position to continue selling at tho reasonable rates they had so far charged. But what the future had in store they did not know. GOVERNMENT AND COUNCIL. In answer to a question, Cr Shacklock stated that when the new’ dam was utilised the present dams would be absolutely submerged. To all intents and purposes they would bo out of existence. In response to another question he stated that if the local Bill went through the House and the council did not get a satisfactory contract it would have to push on with No. 3 station. It might take years to complete, but they would have to carry it out with all possible speed. The Government would have some difficulty in getting a good load from Waitaki. A member: Is that why it is putting the brake on you?

Cr Shacklock: “ The Government has many ways of getting what it wants.” Ho added that in the case of New Plymouth the Loans Board had refused to give its sanction to a loan, the stated reason being that power could be obtained from the Government. When the time armed at which Waipori reached its maximum output of 32,000 kilowatts they would have to buy from the Government. The Government was supposed to hold control of all hydroelectric power. A member: And will that come with steam, too? , Cr Shacklock: No, no. . In further explanation of the council’s dealings with the Government he added that the charges the Government proposed to make were such that the council could not bo recommended to accept them. As soon as the council received _ the £600,000 for the purchase of Waipori it would immediately begin to hand back a considerable portion of that money in allowance for sinking fund. That fact had been one of the “ storm centres.” Cr Shacklock went on to say that the line from Waitaki would cost something like £IOO,OOO. The Government would not spend £IOO.OOO unless there was a favourable load at the end of it. Cr Shacklock was heartily thanked for his address.