New Zealand Grey Power Deplores Lack of Consumer Representation


The New Zealand Grey Power Federation, representing more than 72,000 elderly consumers of energy in this country, deplores lack of domestic consumer representation on the Electricity Authority as a result of the Electricity Industry Act, which completed its third reading in parliament last week.

Roger Booth, Grey Power’s energy spokesperson, asks how domestic consumers are to be represented in the energy environment created by the new bill.
‘Our concerns were never any more than after-thoughts in consultation surrounding the Electricity Commission.

The previous act said that efforts of the Commission should centre on competitive pricing to provide sustainable, fair ongoing energy supply to meet national energy needs.

There were no specifically representative consumer representatives on the Commission, although there were individuals whose background helped them to give some consideration of the needs of consumers. In addition there was specific representation on advisory committees, such as the retail marketing group. It was only one domestic consumer representative within about eight industry representatives, but at least we were there.’

Mr. Booth said that it was particularly necessary ‘for our voice to be heard in the rather uneven and unfair current energy environment.’

He said that competitive pricing generally puts domestic consumers at a disadvantage compared to industrial and commercial consumers. ‘Right now -
- Industry and commercial demand is rising twice as fast as domestic demand
- Industry power prices are rising at half the rate of domestic prices
- Domestic consumers provide almost half of the electricity industry’s revenue
What is fair about that?

The new act appears to rely on the phrase ‘long-term benefit of consumers’ to ‘protect’ consumer interests. But Grey Power asks – where is domestic consumer representation in this new environment?

The intended Electricity Authority appears to lack any individual who can call on an informed consumer background. Why is there not even a minority voice?

There is little indication of a future for the advisory committees, or whether they will continue to have consumer representation.

We know that we will always only be fighting from a minority position. But we need at least to be there. Without direct representation, domestic consumers will be shut out of the decision making processes that will impact in such a real way on every energy-using New Zealander.’

ENDS

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