Archived News Releases

News release

March09

Pleasant surprise in prospect for local power users

Mid Canterbury power consumers are in for a pleasant surprise over the next month, when they receive a deferred discount in their electricity accounts.

John Tavendale, chairman of local lines company Electricity Ashburton, said shareholders will receive the discount in their March power accounts, based on electricity use over the previous 12 months.

“A deferred discount is effectively money in the pocket for our shareholders, which we know they appreciate, particularly in difficult economic times.

“For individual power users, this year’s deferred discount is equivalent to around two months of line charges. For an average household, that equates to around $100, including GST. Those who use more power, and are therefore charged more for their use of our lines, will receive a proportionately larger deferred discount,” he said.

According to John Tavendale, the region’s economy will be boosted by $4.5 million from the discount: the total, including GST, that those connected to the company’s network will receive in their upcoming electricity accounts.

John Tavendale says the region broke new records for electricity demand in the year to February, with network use peaking at 135MW on 8 December, an increase on the previous record of 123 MW achieved the previous year.

“The record yearg on year power use is due to the underlying growth in the regional economy, which is demonstrated by ongoing growth in the number of new connections to our network.

“On behalf of our customer-shareholders, we own and maintain the electricity network, which is a key component in enabling the Ashburton District’s economy to grow. Electricity Ashburton’s co-operative structure, and the deferred discount that we are able to pay because of that structure, is one simple yet highly effective way for everyone in the region to benefit from the success the local economy has achieved over the past few years,” he said.

Electricity Ashburton became a customer owned co-operative company in 1996. Since then it has returned more than $40 million to the local community via deferred discounts and imputed dividends paid to its shareholders.

Further information

Gordon Guthrie

General Manager

Electricity Ashburton

Ph 307 9827