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Farmers Relieved At Supply Beyond 2013

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9 May 2008

Farmers Relieved At Supply Beyond 2013

The government has announced plans to extend the obligation on lines companies to supply electricity to ‘uneconomic’areas beyond 2013.

Federated Farmers national president Charlie Pedersen says the decision should come as a great relief to the many rural consumers that no longer have to live with the prospect of uncertain supply of electricity.

“A number of our members, particularly those in remote rural areas, had become increasingly concerned about the uncertainty of electricity supply beyond 2013.”

This decision comes as a result of a review last year into a section of the Electricity Act 1992 that provides that electricity lines companies must maintain line services to connections established as at 1 April 1993, but that this obligation will expire 31 March 2013.

At the time the legislation was considered by Parliament it was thought that by 2013 cost-effective alternative supply options would be widely available making supply less reliant on lines.

An amendment to the Electricity Act 1992 will be required to formalise the decision and Federated Farmers is working to ensure the amendment is passed as soon as possible.

Federated Farmers looks forward to working with those electricity lines companies considering alternatives to rural electricity supply through existing lines.

ENDS

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