REPORT ON TARIFF

King Country Chronicle, Volume XXXIII, Issue 4800, 21 June 1939, Page 5

REPORT ON TARIFF

WAITOMO POWER BOARD. FURTHER INVESTIGATIONS. REDUCTIONS IN RATES. After consideration of a report on the tariff submitted by the secretary and engineer, the Waitomo Power Board on Monday afternoon decided that as from July 1 that the rate for domestic water-heaters be reduced to the same rate as for dairy waterheaters; that the rate for farm motors be investigated by the secretary and engineer with the view to reducing same from 2id to the first 120 units per month at 2b.>d and the balance at 1 1 •_>d; and that the secretary and engineer be authorised to consider amendments to the tariff in domestic and commercial rates as recommended in their report, such amendments not to decrease the revenue of the Board by more than £ISOO. These were recommendations made by the tariff committee and adopted by the Board.

In the report the officers pointed out that the cost of electricity for domestic water-heaters would, under the new scale, result in the revenue of the Board being reduced by £3OO per annum without allowing for any added revenue from increased installations.

It was the considered opinion of the officers that the charge for milking, separating and pumping motors was as low as the Board could safely go. The comment was made that the dairy farmer had obtained a reduction beyond what the Board anticipated by reason of the installation of more efficient milking machines. There was ample opportunity to consider the method of charging in both commercial and domestic classes, stated the officers in their report. There was a world-wide tendency to charge domestic consumers on an allin two part tariff, of which the Board’s present domestic rate was one type. The first portion of an all-in two part tariff might be a fixed charge based on rateable value, number of rooms, house dimensions, maximum demand (assessed or measured) oi some other basis, or alternatively the first portion might be a block of units based on one of the above methods. Since the present tariffs with the high rate units based on lamp wattage was introduced conditions had changed greatly—the lighting load was now only a small portion of domestic consumption, lamp sizes have increased and numerous lighting points are being used for ornamental and other purposes. The present form of tariff was somewhat restricted and had outlived its usefulness.

After reviewing the methods of charging of the Auckland Power Board (first 36 units at Cd, balance at %d per unit); Thames Valley Board (first 30 units at 3d, balance at Id per unit); Central Waikato Board (first 12 units at 4d, next 80 units at l : /2 d per unit, next 80 units at Id per unit, balance at per unit), the secretary and engineer stated that it appeared to them that a suitable starting basis would be the first 15 units at 4d, next 185 at Id, and the balance at %d or even Ud per unit. They suggested they be given authority to proceed with an investigation along these lines, as to do the work thoroughly and scientifically it would be necessary to work out a winter and summer months consumption to give an exact idea of what the difference would be. It was also recommended that the probable effect upon the Board’s revenue of the adoption of the Central Waikato Board’s rate for commercial lighting be investigated. The adoption of this scale would make it advisable to eliminate the half rate lighting for shop windows. The elimination of the higher first charge for office heating should also be investigated.