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

 


Controls on Transpower welcomed

1 February 2006

Controls on Transpower could pave way for alternatives

Proposed Commerce Commission price controls on lines company Transpower have been welcomed by Green Party Co-Leader Jeanette Fitzsimons, not just because it will save consumers up to $700 million, but because monopoly pricing seriously distorts choices about the future of the electricity system.

"Transpower says its price increases - 19% this year and 13% per annum for the next five years - are to pay for its proposed lavish grid upgrade. But not only has this project not been started yet, it hasn't even been approved. Imposing double-figure percentage increases for a speculative project cannot be justified, especially when there are better alternatives available," Ms Fitzsimons says.

"Before the grid upgrade can take place, the Electricity Commission must agree that it is the best way to meet future demand. The upgrade must also gain Resource Management consent, which will be difficult given that it will impose giant, intrusive pylons on people's land and create electro-magnetic fields near their homes."

Instead of Transpower's proposed line upgrade, the Greens have long advocated an alternative package. Measures in this package would see gas being used directly in Auckland rather than being converted to electricity further south, more use of waste wood in industry and homes in the north, better load management to avoid system peaks, and a comprehensive energy efficiency programme across Auckland.

"This package would almost certainly be cheaper than Transpower's upgrade, more sustainable because it needs less fossil fuel, and more environmentally acceptable because it avoids new pylons and produces less greenhouse gas," Ms Fitzsimons says.

"However, its eventual implementation is being undermined by Transpower's ability to raise capital in advance by price gouging. The Commerce Commission must prevent this tilting of the playing field, and its decision to impose price controls is to be applauded."

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>

ALSO:

Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>

ALSO:

More Justice & Corrections

Sector Opposes Bill: Local Government Bill Timeframe Extended

The Minister of Local Government Peseta Sam Lotu-Iiga has asked the Select Committee to extend the report back date for the Local Government Act 2002 Amendment Bill (No 2). More>>

ALSO:

Breed Laws Don’t Work: Vets On New National Dog Control Plan

It is pleasing therefore to see Louise Upston Associate Minister for Local Government calling for a comprehensive solution... However, relying on breed specific laws to manage dog aggression will not work. More>>

ALSO:

Not Waiting On Select Committee: Green Party Releases Medically-Assisted Dying Policy

“Adults with a terminal illness should have the right to choose a medically assisted death,” Green Party health spokesperson Kevin Hague said. “The Green Party does not support extending assisted dying to people who aren't terminally ill because we can’t be confident that this won't further marginalise the lives of people with disabilities." More>>

ALSO:

General Election Review: Changes To Electoral Act Introduced

More effective systems in polling places and earlier counting of advanced votes are on their way through proposed changes to our electoral laws, Justice Minister Amy Adams says. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news