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

 


Nothing can mask the fact that power prices are too high

David
SHEARER
Energy Spokesperson
10 February 2014 MEDIA STATEMENT
Nothing can mask the fact that power prices are too high

Today’s report commissioned by Business New Zealand cannot hide the unpalatable truth that New Zealand power prices are too high, says Labour’s Energy spokesperson David Shearer.

“No matter how much the report from Sapere tries to justify the current electricity pricing model, it is clear we must have substantial change.

“The inescapable effect is that electricity demand is declining yet prices are still going up, hurting New Zealand families. That tells me and the rest of New Zealand that the market is failing. All the reports in the world will not change that fact.

“In addition what must be galling for Business New Zealand’s members that Business New Zealand is advocating higher electricity prices when they could be receiving substantially lower prices.

“This report and last week’s bizarre model from the Electricity Authority, trying to use construction costs a hundred years old to justify high prices, show how desperate the industry is to cling to the current pricing model regardless of how it hurts consumers.

“The issue is what power companies paid for those hydro stations, and no amount of spin can change that.

“Even Business New Zealand’s own report admits: ‘Increases in retail electricity prices over the past decade have not been well explained nor justified. The relationship between costs, wholesale electricity prices, and retail prices is not well understood and retail margins … remain opaque.’

”Our hydroelectricity has some of the lowest operating costs in the world but generators are profiting by overcharging New Zealanders for the value of our public water. They receive the same price when they sell on the wholesale market as more expensive forms of power generation.

“Labour’s policy will stop the effective privatisation of the public rivers, which allows the value of our low cost hydro power to be captured by the power companies rather than passed on to our businesses and households.

“Labour’s NZ Power will reduce household electricity bills by hundreds of dollars a year and it will lower prices for businesses by 5-7%.”


ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Drone Strikes And Judith Collins‘ Last Stand

The news that a New Zealand citizen was killed last November in a US drone attack in Yemen brings the drones controversy closer to home.

To the US, drones are a legitimate response to the threat posed by the al Qaeda organisation and its franchisees... To the US, the drones carry the added advantage of not putting US troops at risk on the ground, and minimises the need for putting them in large numbers in bases in the countries concerned, always a politically sensitive point.

The counter-argument, well articulated by security analyst Paul Buchanan on RNZ this morning, is that this particular drone attack can be said to amount to an extra-judicial execution of a New Zealand citizen by one of our military allies, in circumstances where the person concerned posed no threat to New Zealand’s domestic security. More>>

 

Parliament Today:

Policies: Labour’s Economic Upgrade For Manufacturing

Labour Leader David Cunliffe has today announced his Economic Upgrade for the manufacturing sector – a plan that will create better jobs and higher wages. More>>

ALSO:

Gordon Campbell: On The Life And ACC Work Of Sir Owen Woodhouse

With the death of Sir Owen Woodhouse, the founding father of the Accident Compensation Scheme, New Zealand has lost one of the titans of its post-war social policy. More>>

ALSO:

Bad Transnationals: Rio Tinto Wins 2013 Roger Award

It won the 2011 Roger Award and was runner up in 2012, 2009 and 08. One 2013 nomination said simply and in its entirety: “Blackmailing country”... More>>

ALSO:

Select Committees: Tobacco Plain Packaging Hearings

The Stroke Foundation is today backing the Cancer Society and Smokefree Coalition who are making oral submissions to the Health Select Committee in support of proposed legislation to remove of all branding from tobacco products. More>>

ALSO:

Milk: Oravida Asked For Cabinet Help

New evidence released by New Zealand First today reveals Justice Minister Judith Collins used her position to manipulate the Government to help her husband’s company, Oravida, after the Fonterra botulism scare, says New Zealand First Leader Rt Hon Winston Peters. More>>

ALSO:

With Conditions: Ruataniwha Consents Approved In Draft Decision

The Tukituki Catchment Proposal Board of Inquiry has granted 17 resource consents relating to the $265 million Ruataniwha Water Storage Scheme in a draft decision that would open more of the Hawke’s Bay to irrigation. More>>

ALSO:

Fast Lanes, Campervans: Labour 'Making The Holidays Easier For Kiwi Drivers'

The next Labour Government will make the holidays easier and journeys quicker for Kiwi families driving on the roads, says Labour Leader David Cunliffe. More>>

ALSO:

Gordon Campbell: On Royalty And Its Tourism Spin-Offs

Ultimately the Queen’s longevity has been one of her most significant accomplishments. A transition to Prince Charles while the monarchy was in the pits of public esteem in the mid to late 1990s would have been disastrous for the Royal Firm. Far more congenial representatives have now emerged... More>>

ALSO:

Privacy (Again): ACC Demands Excessive Privacy Waivers

Labour: “This is just another example of ACC under National deliberately acting to deny treatment and compensation... Those who did fill in the form have effectively been victims of yet another ACC privacy breach. This time Judith Collins knew it was happening..." More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news