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Hodgson must explain power price rises

Hon Roger Sowry MP National Energy Spokesman

21 January 2004

Hodgson must explain power price rises

Energy Minister Pete Hodgson must explain why he thinks electricity price hikes of up to 15% are justified, says National's Energy spokesman Roger Sowry.

"The RMA, the Kyoto agreement and the Conservation Act are still hindering new projects and creating red tape. Consumers are having to bear the cost of this.

"Pete Hodgson says his advice is that the price increases are not "overshooting". He should release this advice so the public can see why they are faced with more price increases.

"The problems still remain, despite the new electricity tax imposed last year. There has been no leadership or forward planning from the Government on this issue. We need an industry plan to encourage generation and avoid these price increases which are inevitable when the risk of shortage exists," said Mr Sowry.

Ends

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