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Home / New Zealand

Cheaper power bills for colder regions

18 Jul, 2007 02:55 AMQuick Read

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KEY POINTS:

The Government is proposing to make power cheaper for around 70,000 households in colder parts of the country.

But people living in places with more benign climates will not see any reduction to their bills.

Energy Minister David Parker today introduced legislation which will raise the threshold for
lower prices for domestic consumers in Christchurch and those living south of the city.

Mr Parker said around 70,000 households would qualify and, depending on how the tariff was applied by different companies, they could save around $20 a year.

The bill is to take account of the fact that in the colder part of the country, households have to use more electricity to keep warm.

The new tariff rate would not apply to the West Coast because power bills were on average lower there.

The bill raises the threshold for low fixed-charges eligibility from 8000 kWh a year to 9000 kWh.

- NZPA

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