Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Low Fixed Power Charge A Badly Targeted SOP

Low Fixed Charge Electricity Tariff A Badly Targeted SOP

Government’s “targeted relief on electricity bills” is a knee jerk reaction to the new round of electricity price rises, says GreyPower President Graham Stairmand. The basic problem is that the electricity industry is out of control, and able to make these unwarranted price rises. That is what needs to be addressed. The low fixed charge tariff is an ambulance at the bottom of the cliff, picking up the wrong people.

The policy has been around since Labour took power, but its motivation seems to have changed. Initially, it was a sop to the Greens intended to promote increased electricity usage efficiency. Now, because of the price rises, it has suddenly changed into help for low income families.

But it won’t help the solo mother of six living in a substandard, uninsulated all electric rented house. On the other hand, the rich executive living in a fully insulated, double glazed apartment with gas appliances will qualify.

As well, it ignores regional differences. The average household energy consumption in Southland, for example, is over 10,000kWh/year; in North Auckland it’s less than 7000. Basing the tariff on the national average consumption of 8000kWh clearly discriminates against people in the colder parts of the country.

The government policy statement on electricity says that the number of different tariffs should be reduced, and they should be simplified, so that they’ll be easier to understand. The government’s action has now compulsorily added another tariff that is difficult to understand. Over the last four years, the voluntary uptake of this tariff has been low, because people are not sure if they qualify. Many who should be on it, aren’t; and some who shouldn’t be, are.

The retailers without any justification increase prices as a matter of whim and we question whether a 20% increase in the total charge is passed back to the other participants in the chain from generator to retailer. If not then the retailer is increasing his price by more than 20%.

The whole industry needs to be regulated so that the price of electricity is controlled and not subject to either the whim of the supplier or that of the government that reaps the benefit of any price rise in increased dividends and GST.

Fortunately consumers are voters also.

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

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:

Corrections Corrected: Supreme Court Rules On Release Dates

Corrections has always followed the lawful rulings of the Court in its calculation of sentence release dates. On four previous occasions, the Court of Appeal had upheld Corrections’ practices in calculating pre-sentence detention. 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>>

Gordon Campbell: On Our Posturing At The UN

In New York, Key basically took an old May 2 Washington Post article written by Barack Obama, recycled it back to the Americans, and still scored headlines here at home… We’ve had a double serving of this kind of comfort food. More>>

ALSO:

Treaty Settlements: Bills Delayed As NZ First Pulls Support

Ngāruahine, Te Atiawa and Taranaki are reeling today as they learnt that the third and final readings of each Iwi’s Historical Treaty Settlement Bills scheduled for this Friday, have been put in jeopardy by the actions of NZ First. More>>

ALSO:

Gordon Campbell: On The Damage De-Regulation Is Doing To Fisheries And Education, Plus Kate Tempest

Our faith in the benign workings of the market – and of the light-handed regulation that goes with it – has had a body count. Back in 1992, the free market friendly Health Safety and Employment Act gutted the labour inspectorate and turned forestry, mining and other workplace sites into death traps, long before the Pike River disaster. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news