ELECTRICITY IN BULK.

Hauraki Plains Gazette, Volume XXXVIII, Issue 5149, 8 July 1927, Page 2

ELECTRICITY IN BULK.

CHARGES FOR BOROUGH SUPPLY.

THAMES AND TE AROHA AGREE.

For a long time the supply of electricity in bulk to the boroughs of Thames and Te Aroha has exercised the minds of the members of the Thames Valley Electric Power Board. At the meeting of the board in May last notification of the termination of the present agreement between the board* and the boroughs, concerned was given. Later, representatives of the boroughs met the chairman, engineer, and members of the finance committee in conference, when the provisions of the new agreement and basis of charges were fully explained. At the board’s meeting on Tuesday last a. communication was received from the Te Aroha Borough Council acknowledging the board’s letter relative to the supply of power in- bulk to boroughs. The council advised that it had decided to, enter into an agreement with the board for a supply of power in bulk to be delivered at the power station. The cost of such supply' was to be on a yearly basis of £8 per k.v.a. of maximum demand taken on the board’s peak load, £6 per k.v.a. of maximum demand taken off the board’s peak load, and %d per unit purchased with a minimum charge yearly of £65. The above charges were to be subject to any increase or decrease mode by the Public Works Department- in its charges to the board. The council was to be noified from time to time of the hours during which it would be liable to pay £8 per k.v.a. basis, and the council was not to be liable for <?ny peak occurring if its plant was shut down through an interruption in the. board’s supply. The agreement was to be for a period of five years, and thereafter should subsist until six months’ notice in writing was given on either side. The council had decided that when the present agrement expired: no further supply would be taken from the board for the Herriesville section.

The Thames Borough Council also wrote acknowledging the board’s notification terminating the present agreement for the supply of power in bulk and setting out the proposed new charges. The council advised that it had decided to accept the new charges for a term of five years. It was to be understood, however, that should a reduction in the Public Works Department’s charges to the board during’ the proposed term be made the charges to the council would be proportionately reduced. The chairman (Mr F. M. Strnage) said that the board was not prepared to grant any concessions to Te Arolia that were not available to Several members agreed that the course suggested was the only re-n--sonable one.

After a brief discussion it was resolved to acknowledge the receipt of the letters and forward the necessary agreements for signature.