Switching power companies could save hundreds of dollars, says Consumers' Institute

3.00pm

Power users could save up to $300 a year on electricity bills by changing suppliers, the Consumers' Institute says.

The institute's latest PowerSwitch survey, carried out last week, showed various companies around the country offered significantly cheaper power than other suppliers.

The results come as opposition parties criticised the government for increases around the country.

EmPower's 70,000 customers on Auckland's North Shore face a 15 per cent hike, while TrustPower's 20,000 in Central Otago will see an extra 7 per cent added to their electricity bills.

Rises are likely in other regions, and Meridian Energy's Christchurch consumers have already had a 15 per cent increase in their power bills.

However, the survey found consumers could save by changing suppliers. It found Energy Online was offering the best prices to Auckland Central and Manukau households, and these could be as much as $200 a year cheaper than the other six retailers in the region.

In Wellington, Genesis provided residential consumers the best deal by a $45 a year margin, while in Dunedin, Contact Energy supplied the cheapest electricity.

Dunedin had the most variation across suppliers, with consumers potentially paying up to $300 a year more by being on an inappropriate tariff plan.

There was less range in prices for Christchurch than other major centres and it also had the least choice with three retailers, offering six plans.

The ACT Party yesterday questioned Energy Minister Pete Hodgson's refusal to intervene over increases. It said state-owned generating companies dominated the wholesale market preventing competition.

The Green Party wanted the Government to tell the public how much of the increases are due to profiteering.

Mr Hodgson said prices were going up so that new generation capacity could be built and he would not intervene in the market.

"There was a time when politicians set the price of electricity... and it's not a good idea," he said.

- NZPA