HYDRO-ELECTRICITY

New Zealand Times, Volume XLIX, Issue 11163, 20 March 1922, Page 4

HYDRO-ELECTRICITY

AUGKLAND AND ARAPUNI TEN YEARS’ CONTRACT FOR SUPPLY IN 1928. BOARD TQ BUY 15,000 K.W. IMPORTANT RESERVATIONS. (Special to “N.Z. Times.”) AUCKLAND, March 17. . Considerable interest is being manifested in the present operations of the Auckland Electric Power Board in connection with the Arapuni scheme and in view of the fact that Wellington will soon be called upon to enter into some similar agreement the details of the arrangement should prove of value to your district. In the first place it is generally admitted that the days of generating electricity by steam-driven plants where water-power is available are past and gone, and that as New Zealand possesses ample water supplv electricity for power and lighting should be supplied at rates comparing more than favourably with those existing in any other part of the world.

In the second place, the Auckland Electric Power Board has already commenced its functions. The Mayor (Mr J. H. Gunson) has presented a memorandum giving full details of the business which the board is to take over from the Auckland City Council on April Ist, and of the negotiations with the Government to assure that the Arapuni,. -h'ydro-electrio scheme should be commenced forthwith.

The principal announcement it contained was that the council had concluded an agreement with the Minister for Public Works, who had signed the document, subject to its acceptance by the board. It proposes that the board shall undertake to purchase the whole of its requirements from th 6 department when power from Arapuni is available, and guarantee, with certain reservations, to pay the department £105,000 per annum, representing tlie price of 15,000 k.w. The Government undertakes to commence work at Arapuni forthwith, and to deliver power in bulk to the hoard at a sub-station at Penrose by April Ist, 1928. The agreement also reserves to the board the »ole right to sell electricity in its district, including the requirements of Government departments.

Tlie agreement is open for acceptance until April Ist next. Consideration of tlie proposal has been deferred by the board until next Monday.

DETAILS OF AGREEMENT

WORK TO START AT ONCE. PRICES FOR POWER FIXED. CONDITIONS OF, GUARANTEE. Giving an account of the stewardship of the Auckland' City Council in electrical business, the Mayor (Mr J. H. Gunson) bandied over to the board a series of documents covering the whole position to date. The most important portions dealt with the negotiations leading up to the Government uncertaking to commence fortawith (he hy-dro-electric power works at Arapnni. Included among the documents was a draft copy of the agreement arrived at between the City Council and the Minister for Public Works (the Hon. J. G. Coatee) for the future power supply for Auckland, which the Minister has signed and the Power Board is asked to sign. A covering memorandum explains that the chief points contained are: 1. The contract shall be for a period of ten years. 2. The Minister shaill supply and the board shall take from the Minister the whole of. its requirements in electricity at asub-station at Penrose, commencing not later then April Ist, 1928. 3. For tlie purpose of this supply, the Minister shall commence forthwith hy-dro-electrio works at Arapuni, Waikato river, and expeditiously complete them. 4. The price shall be: —For the first 20,000 k.w.. 35s per k.w. per quarter; for all demand in excess of 20,000 k.w., 26s 3d per k.w'. per quarter. 5. Tlie board guarantees to pay £105,000, with certain reservations, and with the option in the event of its requirements in any year failing to reach that figure, of paying standard rates as set out in schedule (c) of the agreement. 6. The Minister shall not, nor shall any person by or under the authority of the Minister, during the currency of the agreement, sell or supply electricity to any person within the board’s district, including any department of the Government or the Crown, except upon such terms as may be agreed upon between the Minister and the board.

The prices set out in schedule (c) of the agreement, to be paid by the board ii» the event of the agreed minimum of 15,000 k.w'., costing £105,000 per annum, not being taken, are as follow : For tile.first 200 k.w., £2 10s per k.w. per quarter; for tho next 4800 k.w., £2 per k.w. per quarter; for all over 5000 k.w., 35s per k.w. per quarter. TERM OF THE CONTRACT. Further details of the agreement show that the term of ten years during which it is to run is to date from the commencement of the supply of electricity, and not from its execution. At the expiry of that time it is to continue in force subject to termination by either party by the giving of twelve months’ notice in writing. It is to continue even should the board part with the ownership or possession of its premises, property or authority. The Minister is to cammenoe work'so that the current may be delivered, at the sab-station at Penrose, u-hioli is to be tho point of supply, on the date stipulated. It is provided that if, through causes not under tlie control of the Minister,"current cannot be supplied by April Ist, 1928, the board is to have no claim against the Minister on that account.

The power to he delivered to tho board at Penrose is to be alternating current, at a nominal periodicity of 50 cycles per second on tlie three-phase system, at a nominal pressure of 11,000 volts. The range of periodicity is not to vary more than 1 per cent, above or below the frequency stated, and tihe voltage is not to vary more than 4 per cent, above or below a pressure of 11,000 volts.