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Labour and Greens hypocritical over power prices

Labour and Greens hypocritical over power prices

Press Release by ACT President & ETS Spokesman John Boscawen

Sunday, April 21 2013

The Labour/Green’s scheme to nationalise the electricity sector because they ‘care’ about power prices is hypocritical when they were responsible for introducing an Emissions Trading Scheme which pushed up the price of power, ACT Party President & ETS Spokesman John Boscawen said today.

“The whole point of their Emissions Trading Scheme was to drive up electricity prices so that people used less of it,” Mr Boscawen said.

“The ETS lifts the marginal cost of producing electricity, and, as it’s the marginal cost that sets overall prices, all generators get the benefit of the higher price, regardless of whether they have to pay the carbon tax.

“The result is that those generating renewable energy make windfall profits at householders’ expense. 

“I spoke out against the ETS because it would impact the most on those who could least afford it.   But the Greens and Labour, who pretend to care about the poor, were more than happy for the price to rise. 

“They didn’t care about high power prices hurting New Zealanders then, but now that they want to put a spanner in the works of the asset sales programme, they suddenly claim to care.

“These parties are willing to hurt all New Zealanders by eroding the value of state owned assets, and also private assets, such as Contact Energy, which are owned by New Zealand investors and Kiwisaver schemes. 

“They are a bunch of hypocrites who only care about power prices when it suits their political agenda,” Mr Boscawen said.

ENDS

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