Business leaders say power-supply questions unanswered

Michael Barnett

Business leaders say a report into Auckland's June 12 blackout has left unanswered questions about the vulnerability of the city's power supply.

Transpower has until early August to come up with a plan to improve the security of Auckland's electricity.

However, it could take up to two years to reduce reliance on the Otahuhu sub-station where two corroded shackles gave way in high wind, bringing down earth wires that cut the power to most of the city.

The options Transpower will consider include improving the Otahuhu sub-station, putting a new link into Penrose and Albany and a new eastern power corridor using the proposed Waikato 400kv line into Pakuranga.

Michael Barnett, from the Auckland Chamber of Commerce, said today the report talked of Otahuhu being an old facility with old technology that provided the sole link for Auckland's electricity.

But he questioned how long this had been known.

"I don't think businesses in Auckland or residents using electricity in Auckland would take any comfort from this report and as I say, I think given the knowledge that we had and that we knew before the event, it's almost an offence that nothing has been done," he said.

Auckland mayor Dick Hubbard said the core question of vulnerability had not been addressed -- that is, to what extent Auckland was totally reliant on Otahuhu.

"I think the more fundamental question we've got to ask ourselves is do we need transmission capability and generation capability north of Auckland," Mr Hubbard said.

Employers and Manufacturers' Association chief executive Alasdair Thompson said the main issue was underinvestment in the national grid, specifically to address the reliability of power supply to Auckland.

Remedy

The question that needed addressing was whether the Electricity Commission's grid investment test would let Transpower get on and remedy Auckland's transmission deficit, he said.

Energy Minister David Parker said yesterday's report was not intended to solve the problems given that it was produced only two weeks after the event.

He said Transpower had options to examine and he did not think the process would be "unduly lengthy".

An independent review of the report on the blackout is due on July 6 and Mr Parker said Transpower would decide what it was going to do about a month after that.

Mr Parker today told National Radio: "It's clear that within the next decade we need more capacity into Auckland anyway which is a different thing from the diversity of supply that we already need.

"Now, we could combine the two at the same time and perhaps bring it into an upgraded station at Pakuranga but I think these are issues we need to work through a little bit more."

Yesterday's report had not been intended to look at diversity of supply as Mr Hubbard had suggested it should.

Mr Parker also said he disagreed with Mr Thompson that the Electricity Commission was blocking these sorts of investments.

"That's not my experience," he said. "Indeed, I've got a long list that goes some pages of improvements to the grid that they've approved very quickly. And they haven't had the chance to approve this particular upgrade because it hasn't been put to them. "

The grid investment test was new "but I don't think we should put too much weight upon it".

- NZPA