Dunedin City Council-owned infrastructure company Delta has renewed its electricity and fibre-optic network maintenance contract with Network Tasman, a $40million, five-year network contract.
The Network Tasman electricity distribution network supplies power to more than 38,000 residential and commercial customers across 10,800sq km.
In Tasman, Delta employs 54 staff, from a main depot in Hope and regional depots in Nelson, Motueka, Murchison and Takaka.
Delta manages the Aurora Energy network in Dunedin and into Central Otago but in recent years has been heavily criticised for its involvement in some loss-making subdivisions and debts owed to it, and for its closure of other branches and job losses beyond Otago.
Delta has provided the service to Network Tasman since April 2011, and the renewal period is from April 2016 to March 2021. The contract is expected to total about $40million during the next five years.
Network Tasman chief executive Wayne Mackey said in a statement Delta had consistently provided a high level of service to its Tasman consumers and the company was pleased to be renewing the contract.
Delta chief executive Grady Cameron said he was ''delighted'' to be Network Tasman's preferred service provider, in having the ''significant'' contract renewed.
Under the contract, Delta is also responsible for building and maintaining Network Tasman's consumer fibre-optic communications network around Tasman and Marlborough.
Delta also provides network maintenance to Nelson Electricity's network in Nelson.