Smith Nick: Questions for Oral Answer — Questions to Ministers 
Smith Nick: Questions for Oral Answer — Questions to Ministers 
[Volume:630;Page:2560] 
3.  
Hon Dr NICK SMITH (National—Nelson) 
 to the  
Minister of Energy 
: Does he stand by the statement from the Government on 14 March: “I can assure you—no rolling blackouts this winter.”; if not why not? 
Hon TREVOR MALLARD (Acting Minister of Energy) 
: 
 Yes. Although no Minister could ever guarantee there will not be a power cut of some sort—for example if a storm blew down a power line—I am confident as I was the last time I was asked this question in the House that in the event of an electricity shortage enough measures are in place to ensure that rolling blackouts will not happen. 
Hon Dr Nick Smith 
: How can he have confidence in the Electricity Commission when yesterday it admitted errors in both the minimum zone and the emergency zone of 15 percent amounting to the equivalent of the entire storage of Lake Benmore and making it far more likely that we will in fact have an electricity crisis this winter? 
Hon TREVOR MALLARD 
: Taking that point I think if the country were as pluvial as the member opposite we would be a lot better off. [ 
Interruption 
] 
Madam SPEAKER 
: Would the Minister please address the question. 
Hon TREVOR MALLARD 
: Well we have always been allowed to call people “wet”. That member is clearly wet. [ 
Interruption 
] 
Madam SPEAKER 
: Could you both be seated please! Could we please just have questions asked then addressed without irrelevant comments. Please would the Minister address the question. 
Hon TREVOR MALLARD 
: I do have confidence. The fact the commission did not take into account a new unplanned arrangement to take out a particular generator for a period of time is something that has been explained to my office. I do not think that was good enough but I still have confidence in the organisation. 
Maryan Street 
: What steps has the Government taken to minimise the impact of lower hydro lake levels? 
Hon TREVOR MALLARD 
: We are in a much better situation than in previous years. A supply of coal has been stockpiled—something that never happened under the National Government—so that if we do require it for coal-fired generators it is there. The Government has commissioned the Whirinaki reserve generation plant—something opposed by the National Party just as it has opposed the E3P station which will provide considerable protection over the next 2 or 3 years. It will be running late this year or early next year. Again the National Party said we should not do it. 
Judy Turner 
: How does he foresee that superannuitants and others on fixed incomes will be able to pay their electricity bills if power spikes or rolling blackouts occur this winter or is that not his problem? 
Hon TREVOR MALLARD 
: It is my understanding that those power spikes—the price spikes—affect those people who are on spot prices. I do not know any pensioners who are. 
Hon Dr Nick Smith 
: What explanation has he sought from the Electricity Commission of how it managed to make an error of 220 gigawatt hours—the equivalent of the storage in Lake Benmore—and what action does he intend to take because the commission got such a critical issue for New Zealand so wrong? 
Hon TREVOR MALLARD 
: I am sure it will be the subject of a discussion at our next regular meeting. 
Jeanette Fitzsimons 
: Does the Minister agree with the Government spokesperson on energy efficiency and conservation that taking sensible zero-cost measures now—like switching off computer screens lights and heaters when not in use and fixing leaky hot-water taps—can keep more water in the lakes and give us an extra measure of security this winter? 
Hon TREVOR MALLARD 
: Of course although I would say that that is something we should be doing anyway. 
Hon Dr Nick Smith 
: Why did the Government 3 weeks ago back the view of the Electricity Commission in respect of the risk of a power crisis this winter over the view of Meridian Energy and Genesis Power when effectively the Electricity Commission yesterday said that it had it wrong and that Genesis Power and Meridian Energy had it right? 
Hon TREVOR MALLARD 
: I would point out that of Genesis Power Meridian Energy and the Electricity Commission none of them thinks we have hit the minimum zone. 
Hon Dr Nick Smith 
: I raise a point of order Madam Speaker. My question did not ask whether Genesis Power or Meridian Energy thought we had hit the minimum zone—which was the answer I got from the Minister. The Minister did not address the question which was why the Government believed the Electricity Commission over those two companies 3 weeks ago. 
Hon TREVOR MALLARD 
: We have to take some action only when we hit the minimum zone. No one thinks we have. People thought 3 weeks ago that we were a different distance away from it. That has now been resolved. 
Hon Dr Nick Smith 
: Noting that this is the third year out of 5 that we are facing winter power shortages will he accept that this Government’s planning for new infrastructure and new energy sources has been quite inadequate? 
Hon TREVOR MALLARD 
: Absolutely not. That member voted for the Bradford reforms which are the main cause of this problem that member voted against E3P being built and that member opposed the Whirinaki plant. Everything good that has been done has been done by this side of the House and those members there did nothing. 
Hon Dr Nick Smith 
: What does it say about the decision to build the new Whirinaki power station in the Hawke’s Bay that only 2 years after $150 million was spent on its construction major players in the industry including Transpower and Meridian Energy say it was built in the wrong place? 
Hon TREVOR MALLARD 
: It was put there because at the time that was the easiest place for which to gain consent. The possibility of shifting it was always under consideration. 
Hon Dr Nick Smith 
: I seek leave to table the Electricity Commission’s document on the minimum zone and emergency zone which shows that it had to be changed by 220 gigawatt hours because of an error. 
Madam SPEAKER 
: Leave is sought to table that document. Is there any objection? There is objection. 
Hon David Benson-Pope 
: I seek leave to table media reports from the Dunedin City Council and the  
Otago Daily Times 
 displaying the reaction of Dunedin citizens to the compulsory sale of the Waipori power scheme. 
Madam SPEAKER 
: Leave is sought to table that document. Is there any objection? There is objection. 
Rodney Hide 
: What responsibility will the Minister take as Minister if there are power blackouts this winter or will it all be someone else’s fault too? 
Hon TREVOR MALLARD 
: I think that if the member had listened very carefully he would have heard me not blaming any other organisation.