Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Price Rationing Could Help Power Crisis

The most disgraceful part of the way the Government is dealing with the looming hydro power shortage, is the fear of all parties, except ACT, to talk about price rationing for retail consumers, ACT Commerce Spokesman Stephen Franks said.

"The ability of many consumers to cut use quickly, without hardship, was shown dramatically in 1992. And there is no other sensible course. Price caps for business do not save a single bucket of water in the lakes. If we are honest most of us know that with the right incentives we could temporarily save some power without suffering.

"But the retailers in the gun have done virtually nothing to send the signal. During the drawn out Parliamentary urgency debate last week over law that would let the Minister impose a disastrous California style regime, only ACT risked the truth, that a market which doesn't reward consumers for saving scarce power, is no market at all, and the Ministers evasions would only make the shortages worst.

"What about, for example, offering to customers blithely benefiting from their fixed price contracts, a refund or bonus for using say 10% less than they used in the same period last year. The companies could then sell the power released in the spot market, to the businesses in crisis, for enough to cover the costs of the scheme, if the reports are correct of spot prices many times normal rates. Are the companies so poorly managed they cannot work out such a scheme?

"Capping the prices to businesses who have been, until recently using the spot market to get better prices than the fixed price schedules most of us consumers have signed up to, is not needed when the generator price can be determined by the Government's own generators. Silly laws could even make the shortages worse, but the Greens nevertheless supported rules which could keep energy artificially cheap," Stephen Franks said.

Ends


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Suffrage 125: NZ A Trailblazer For Women

“We acknowledge the work of Kate Sheppard, Meri Te Tai Mangakāhia, and all of the suffragists who tirelessly campaigned for the vote. We also acknowledge the men who supported the cause and voted for the Bill to pass.

“Today we also need to ask each other: how we can continue to make our country a fairer and better place to continue the legacy of the suffragists.

“Aotearoa New Zealand has a female Prime Minister, we have women in cabinet. And I’m here as Acting Minister because the Minister for Women Julie Anne Genter is on maternity leave. New Zealand is a good place to be a woman!” More>>

 
 

Asylum: Refugee Quota Increasing To 1500

“The quota increase will take place from July 2020. In the meantime, we will work to increase the number and spread of refugee resettlement and support services. We need to make sure we’re prepared for this change in policy.” More>>

ALSO:

'Post-Settlement Era': Māori Crown Agency To Be Established

Cabinet has approved the final scope of the Māori Crown portfolio and agreed to establish an agency to oversee Government’s work with Māori in a post-settlement era, announced Crown/ Māori Relations Minister Kelvin Davis. More>>

Gordon Campbell: On Our Military Roles In Iraq & Afghanistan

The politics of the deployment extension have degenerated into a slanging match about whether the previous National government was right or wrong to make the initial commitment to Iraq – and whether the extension is a responsible thing given our joint training role in Iraq with Australia, or is hypocritical in the light of prior statements made by a previous Labour leader... More>>

ALSO:

Commissioner To Be Appointed: Govt To Dismiss Board Of Whitireia And WelTec

Education Minister Chris Hipkins has made a preliminary decision to appoint a Commissioner to Whitireia and WelTec to address the two polytechnics’ financial woes. More>>

ALSO:

Open Government Action Plan: Government To Proactively Release Cabinet Papers

The Cabinet papers will be released no later than 30 business days after a Cabinet decision. This process will be in place for Cabinet papers lodged from 1 January 2019... More>>

ALSO:

NZ Initiative: Evidence Of "Huge" Government Waste

It is not so much that spending is being literally wasted. Rather the best performing countries are achieving much better outcomes relative to their spending. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels