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

 


No savings with power switching

David Shearer
Energy Spokesperson

4 April 2014

No savings with power switching

A report has dismissed the government’s grand claims that customers who switch power companies have brought big savings to the electricity market, says Labour’s Energy spokesperson David Shearer.

“This is a blow to the government which has actively touted the benefits of a switching facility that would bring a competitive market that in turn would deliver lower prices.

“The Covec report, commissioned by the Ministry of Business and Innovation and Employment showed that the $15 million the government has put into electricity switching has had no impact on overall electricity prices, nor has it increased competition between power companies.

“Despite investing $15 million into switching, the estimated 62,000 to 79,000 consumers who used the facility saved just over $16 million.

“Spending $15 million to help some electricity consumers save just $16 million is hardly worthwhile. Taxpayers are effectively subsidising those who changed.

“Meanwhile underlying electricity prices have increased four times the rate of inflation in the past year.

“The electricity system is not working. Demand is declining while there is an abundance of supply. If the market was truly competitive, prices would be coming down, not going up. The Government is out of touch with how New Zealanders feel about increasing power bills,” said David Shearer.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Departure Speech: Governor-General’s State Farewell Luncheon

"...Unfortunately I was unable to get to the Antarctic, the Chatham Islands and the Kermadecs. A dicky heart thwarted our travel to the Antarctic; and even though I volunteered to parachute into the Kermadecs to join the Young Blake expedition, time, commitments and officials frustrated my plans to visit the Kermadecs and Chathams." More>>

ALSO:

New Research: Most Homeless People Working Or Studying

“The cost of housing has been rising without corresponding increases in income, whilst the number of state houses per capita has been in decline. Many low-income people are missing out on housing, whether we recognise them as ‘homeless’ or not. More>>

ALSO:

Post-Traynor: New Offender Info Sharing Plan

“This Bill delivers on that step-change by moving away from name-based records held by individual agencies to a shared, anchor identity based on unalterable information, such as fingerprints and facial recognition. It also gives agencies access to the drivers’ licence photo database and birth, death and marriages information." More>>

  • NZ Law Foundation - New $2M fund for research on information challenges
  • Littoral: New Ship To Deliver Enhanced Naval Capability

    Defence Minister Gerry Brownlee says the Government has approved a Ministry of Defence and New Zealand Defence Force recommendation to request tenders for a new naval ship to support littoral operations. More>>

    July:

    After King's Labour Snub: Māori Party And Kiingitanga To Work Together

    Māori Party Co-leaders Te Ururoa Flavell and Marama Fox met with Kiingitanga representatives in Wellington yesterday to discuss working together on key issues for the betterment of Māori. More>>

    ALSO:

    Waitangi Claim On Rehabilitation: The 'Justus' System For Māori Not Good Enough

    Closing statements at the Waitangi Tribunal case against Corrections called for immediate steps and a comprehensive review to address the high rate of Māori reoffending. More>>

    ALSO:

    Advice: PM Sets Rules For Ministers' Treatment Of Public Servants

    Prime Minister John Key has laid down the law about the way ministers and public servants should interact, saying ministers may not always like the advice they receive, but they must listen to it carefully, respectfully and professionally. More>>

    Gordon Campbell: On The Funding Changes In Special Needs Education, And Uber

    The plan to strip out the educational support for older “special needs” children in order to meet the existing shortfall in funding for special needs in early childhood education is so miserly and relentlessly stupid as to defy belief… More>>

    SPECIAL EDUCATION (& More):

    Online Learning Plans:

    Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
     
     
     
     
    Parliament
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news