INCREASE IN CHARGES

Nelson Evening Mail, Volume 77, 17 October 1942, Page 2

INCREASE IN CHARGES

KLECTRICITY SUPPLIED TO CITY COUNCIL HIGHER PRODUCTION COSTS That the cost of generating electricity at the Stoke Diesel plant had risen from 1.3 d per unit in 1940 to 1.73 d per unit for the current year was shown in a report submitted by the engineer at a meeting of the Waimea Electric Power Board yesterday. This increase was largely accounted for by the increased cost of fuel oil. In November. 1940. an agreement was framed with the Nelson City Council to supply power when required at a rate of lsd per unit. This agreement had been subject to revision. With the increased production costs, the board "'as at present supplying anv power required by the Nelson City Council at a rate below cost. The Waimea Electric Power Board, accordingly, passed a resolution at the meeting yesterday that the Nelson City Council be advised that, as from Ist November, any power supplied by the Power Board would be charged at the rate of 1 3d per unit, the increased rate being due to the higher generating costs. It was also decided to request the Council to supply the Board with particulars of any increased production costs experienced at the Council’s generating plant, so that, in the event of the Power Board wishing to take power from the Council the charges might be 'djusted accordingly