Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Improving prepayment electricity schemes


Improving prepayment electricity schemes could benefit households

As power prices continue in an upward trend as reported in the latest Consumer Price Index, a new study shows households looking to find ways to make savings could benefit from using prepayment metering.

Just published in the international journal Sustainable Cities and Society, the University of Otago, Wellington study describes in-depth interviews with 12 households in the lower North Island.

Households reported a high level of satisfaction with using prepayment metering for electricity, despite the higher prices charged in New Zealand for the service.

The study was undertaken by Dr Kimberley O’Sullivan, Helen Viggers, and Professor Philippa Howden-Chapman of the He Kainga Oranga/Housing and Health Research Programme. It found households using prepayment metering benefit from more immediate feedback on their electricity use and find it easier to budget.

Households used their prepayment meters to put a price on using different electrical appliances such as heaters, ovens, and clothes driers. This allowed them to make more informed choices about how they budget their electricity use within the home.

However, Dr O’Sullivan cautions that fairer pricing for prepayment and better consumer protections are required to level the playing field.

“I would like to see the Government step up and follow the example of Northern Ireland, where prepayment meter prices are required to be less expensive than standard billing, and stronger consumer protections around crediting and disconnection are in place,” Dr O’Sullivan says.

Previous nationwide surveys carried out by He Kainga Oranga have found that mostly low-income households use prepayment. It is unfair that these households have to pay more for their electricity despite paying in advance and having no risk of debt-accrual to companies, Dr O’Sullivan says.

Competition in the prepayment market is also decreasing, with Contact Energy no longer accepting new prepayment customers, and only one retailer offering prepayment in most areas where it is available.

Prepayment metering could have significant advantages for managing household energy consumption from an environmental perspective, Dr O’Sullivan says.

“Better feedback about the cost of using electricity within the home can help to encourage energy efficiency. That’s good for budgets and the environment where there is room for people to make savings. For some households who are not using enough electricity to keep warm though, there is a risk that they will be put off using heating and go cold.”

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Final Frontier: Rocket Lab And NASA Sign Commercial Space Launch Agreement

Rocket Lab has signed a Commercial Space Launch Act Agreement with the National Aeronautics and Space Administration (NASA). The agreement enables Rocket Lab to use NASA resources - including personnel, facilities and equipment - for launch and reentry efforts. More>>

ALSO:

Scoop Business: Wheeler Downplays Scope For ‘Large’ Rates Fall

Reserve Bank governor Graeme Wheeler says some market commentators are predicting further declines in interest rates that would only make sense for an economy in recession, although some easing is likely to be needed to maintain New Zealand’s economic growth. More>>

ALSO:

Ruataniwha Dam: Consent Conditions Could Mean Reduced Intensity

Legal advice sought by the Hawke’s Bay Regional Council on the Ruataniwha Dam consent conditions has confirmed that farmers who sign up to take water from the dam could be required to reduce the intensity of their farming operation to meet the catchment’s strict nitrogen limit. More>>

Health And Safety: Bill Now Sees Rules Relaxed For Small Businesses

Health and safety law reform sparked by the Pike River coalmine disaster has been reported back from the industrial relations select committee with weakened requirements on small businesses to appoint health and safety representatives and committees. More>>

ALSO:

Bearing Fruit: Annual Fruit Exports Hit $2 Billion For First Time

The value of fruit exported rose 20 percent (up $330 million) for the June 2015 year when compared with the year ended June 2014. Both higher prices and a greater quantity of exports (up 9.0 percent) contributed to the overall rise. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news