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Huge Price Rise Shows Need For Winter Rebate

4 July 2002

Huge Price Rise Shows Need For Winter Energy Rebate

Price increases being notified to Genesis Energy customers today show the need for a winter energy rebate for low income earners, Progressive Coalition leader Jim Anderton says.

Genesis Energy is today advising its customers that it is increasing its prices by as much as 28 per cent.

As an example, former On Energy customers in Wellington on the ‘Always Energy’ package paid a daily rate of 57.77 cents/day and an energy charge of 9.55 cents/kWh. Those charges will increase to 65.8 cents/day and 12.26 cents/kWh respectively.

Jim Anderton says the price rises are serious, and show the need to review the way in which the energy market reforms are impacting on low income individuals and families.

"There is no call for price rises of this magnitude. It’s not as though Genesis, which is an SOE, is struggling to make a buck. It can’t blame wholesale price rises, because it generates the power. These prices are going up Genesis obviously believes the winter electricity market conditions allow for them to rise.

“Many superannuitants, beneficiaries and low income earners will struggle to pay these large increases in their Genesis power bills.

“The Progressive Coalition has made a winter energy rebate a cornerstone commitment – one of our top priorities when we return to government in coalition with Labour.

“The rebate offers some hope for taking some of the sting out of 28 per cent price increases for vulnerable New Zealanders,” Jim Anderton said.


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