Strong views on power discount

Marge Giles.
Marge Giles.
Annual discounts off electricity bills are "a godsend" for people in North Otago who are "marginalised financially", North Otago Budget Advisory Trust co-ordinator Marge Giles said yesterday.

That was her message to the Waitaki Power Trust, which holds all 14 million shares in North Otago electricity lines company Network Waitaki on behalf of consumers.

Consumer trust ownership means North Otago electricity consumers get a discount once a year from Network Waitaki surpluses, this year ranging from $179.48 to $2594.26, depending on electricity consumed, a total payout of $2.67 million.

The trust is required every five years to review ownership of Network Waitaki, and yesterday heard verbal submissions.

Mrs Giles said the budget advisory service was keen to see the discounts continue, a "once-a-year boost" and "a life-saver" for consumers.

Oamaru consumer Ian McKenzie said consumers did not forget about the discount, despite some individuals and organisations wanting more money from Network Waitaki put into community projects and discounts reduced or ended.

North Otago branch chairman of the Otago Chamber of Commerce, Gary Watling, suggested if more money from Network Waitaki was put into community projects, it would result in greater support for consumer ownership.

The discounts were popular and he was not advocating they be removed, but said in bad years there would be no discount. To offset that, the wider community would benefit from investing some of the surplus into community projects, which would also "protect against the next corporate raider lurking over the horizon".

Allan McLay had a similar view, as did Michael Ross, who was speaking personally as a member of the community and not as chief executive of the Waitaki District Council.

Mr Ross said under the consumer trust ownership, a larger pool could be made available for community projects and economic development without affecting the return to consumers.

However, the vast majority of submissions were in favour of the status quo.

This year, the trust received 1455 submissions on the ownership review; five years ago, it had 13. The large response this year was prompted by rumours ownership could be handed to a community trust, meaning consumers would lose their annual discount.

The trust will make a decision on ownership at a public meeting on July 7.

david.bruce@odt.co.nz

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