Network Tasman announces $3.5 million in line charge discounts
Consumer-owned local electricity distributor Network Tasman has announced $3.5 million of sales discounts are about to be credited against its consumers’ December power bills. This is in addition to the $8.3 million of discounts provided in August.
“Network Tasman is pleased to provide a December discount this year which is at the same level as our December 2014 discount,” said Network Tasman CEO Wayne Mackey. “The company has also continued to deliver good reliability of supply, ongoing network investment and provided a 2.6% reduction in its line charges in April 2015. Ministry of Business Innovation and Employment surveys show that even before applying this discount Network Tasman’s residential line charges remain among the lowest in the country.
“Virtually all of the company’s 38,500 consumers will receive a discount at a rate of 0.81 cents on each unit of electricity consumed during the last year. Discount amounts will vary according to the amount of power used but an average residential consumer using 6,900kWh per annum can expect a discount against their December power bill of around $56.”
To be eligible a consumer must have had an active, metered connection to Network Tasman’s electricity distribution system as at midnight 18 November 2015. The network covers the Nelson-Tasman region, excluding the central Nelson area.
The company is currently arranging for electricity retailers to credit the discounts onto consumers’ power bills from late November through to the end of December. The discount will be clearly identified as a separate item on consumers’ power accounts.
“Eligible consumers will receive a discount irrespective of which electricity retailer they choose,” said Mr Mackey. ”Switching retailers does not alter this entitlement because the discount comes from Network Tasman and not the retailer.”
Network Tasman is 100% consumer-owned by the Network Tasman Trust. Consumer ownership and a focus on cost efficiency has enabled Network Tasman to credit more than $130 million of discounts back to consumers in the region since the scheme’s inception in 1994.
The Network Tasman Trust, which owns Network Tasman Ltd on behalf of consumers, receives a dividend each year from Network Tasman and makes an annual distribution of accumulated funds in the form of a cheque to Network Tasman consumers in December. This year the cheque distributed by the Trust is $80 per connection point. The cheque paid by the Trust is separate from the discount provided by Network Tasman.