Hughes Gareth: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeHughes Gareth: Questions for Oral Answer — Questions to Ministers[Sitting date: 29 January 2014. Volume:696;Page:15618. Text is incorporated into the Bound Volume.]9.GARETH HUGHES (Green) to theMinister of Energy and Resources: Does he agree with the Electricity Authority that households have been paying too little for power in the past and how has this issue been corrected under the current Government?Hon SIMON BRIDGES (Minister of Energy and Resources): Firstly that is in my view a mischaracterisation of what the Electricity Authority said. Secondly what the Electricity Authority report in my view does implicitly make clear is that talk of super-profits like we had from co-leader of the Greens Dr Russel Norman yesterday—despite ProfessorWolak whom the Greens once relied on reversing his views on that—is absolute nonsense. Certainly I do support the Electricity Authority’s conclusion that the best way to sharpen prices is to see increased competition and competitive pressures and that is exactly what this Government and the Electricity Authority are focused on.Gareth Hughes: So does the Minister believe that the Electricity Authority is correct when it says that rising power bills for Kiwi families have been justified or does he believe that power prices are too high under the National Government?Hon SIMON BRIDGES: As I have made very clear a number of times in this House no one who is a consumer wants to see power prices rise. What is true is that this Government has halved the power price increases that we saw when Labour propped up by the Greens was in power. We are seeing an increasingly competitive market in New Zealand with very sharp offerings. Meridian Energy for example offers a $100 credit and a 10 to 12 percent prompt payment discount. Contact is offering fixed prices until 2016 and 10 to 15 percent prompt payment discounts. My advice to consumers is to shop around.Gareth Hughes: Does the Minister think that the electricity system is working given that electricity prices have increased by 22 percent under the current Government and that in the past year alone power prices have risen by 3 percent despite demand falling by 2 percent?Hon SIMON BRIDGES: The market is workably competitive. We want to see it more competitive. The member raises the point of 3 percent. Well that is approximately half of what we saw year by year when Labour propped up by the Greens was in Government. What we also know of course is that with increased emissions trading scheme costs and with less competition under Labour and the Greens given what they are promising we will certainly see prices rise by much more.Gareth Hughes: No you will not. Is it acceptable to the current Government that 42600 Kiwi families had their power disconnected in the past year alone and were left in the cold and the dark because they could not afford to pay their rising power bills in a “workably competitive” market?Hon SIMON BRIDGES: The issue of disconnections is a concerning one. I am concerned about it and I have written very recently to the electricity providers—the retailers—to make clear my views. It is something that I and the Electricity Authority will continue to work on to get those numbers down.Gareth Hughes: Given the current Government’s opposition to the Green Party and the Labour Party’s NZ Power plan to reduce household power bills by $300 a year will the Minister be campaigning on his track record of rising power prices this year?Hon SIMON BRIDGES: Yes. It will be very difficult to see where that $300 comes from given that around the world no country that has introduced less competition than they already had has seen prices decrease—in fact quite the reverse. Vastly increased costs through a ramped-up emissions trading scheme will mean I think conservatively at least half a thousand dollars—$500—added to the costs that consumers pay in New Zealand year on year by Labour and the Greens.Gareth Hughes: I intend to seek leave to table two data sets. They are from Government websites but from very large databases that are not readily available—Mr SPEAKER: On that basis if the member just quickly describes the websites I will put the leave to the House.Gareth Hughes: Thank you. The first is from Consumers Price Index data showing that power prices have risen by 22 percent under National—Mr SPEAKER: I will put leave for both together. And the second website?Gareth Hughes: And the other data shows disconnections from the Electricity Authority and shows 42600—Mr SPEAKER: Leave is sought to table those two pieces of information for the benefit of the House. Is there any objection? There appears to be none. They can be so tabled.Documents by leave laid on the Table of the House.