northland chamber

Most of us simply don’t care about energy!

‘…we are not only ignorant of what energy is, and the critical role it has played and
Continues in economics and politics, but most of us simply don’t care about energy ’

As a nation, until recently, we simply ignored the inevitability of depletion of current energy stocks. There has been no urgency in exploration or generation of future power supplies.

On top of this we lost sight of the fact that as our demand for energy increased we would one day reach a point that the service life of our aging transmission and distribution networks would be placed at risk.

Energy and our reliance on a reliable energy supply has become ubiquitous to our every day lives. In other words – we expect the lights to go on every time we flick the switch without fail.

We believe that this is still the case today among kiwis and kiwi businesses.

Given the interest in the Marsden-b refiring it might be handy to look at a few facts and decide on where the Northland Chamber of Commerce stands.

Facts

- MRP is looking to fire up the Marsden-B power plant
- The plant was originally designed as an oil powered plant
- Oil is relatively expensive in comparison to coal supply
- The Plant is being modified to be fired by coal
- New Zealand’s Power use is growing by between 2-3% per annum which equates to new generation of 120MW each year
- Power retailers are investing heavily to ensure security of electricity supply for New Zealand
- The potential output of the Marsden-B plant is 320MW
- Resource consent has been granted to fire the plant however this is now before the environmental court as appeals have been lodged.

Energy policy is being given heightened consideration worldwide due to dramatic price increases, potential future constraints on fuel supplies and widespread acknowledgement of the threat that climate change poses.

The Northland Chamber of Commerce is concerned with future security of power supply for the following reasons

- The cost to the end user of escalating power prices affects our competitiveness as a global producer of goods and services and therefore has an impact on our economic performance.
- The effect on the global environment of some types of power generation
- The scarceness of some Raw fuel supplies (Generation) and the deteriorating infrastructure that carries power from the generation to the end user (transmission).
- Energy has an essential role in modern societies for underpinning economic performance. As a consequence, we believe that energy is one of the more important issues facing Northland.
- The ability to sustain and expand existing Industry and attracting new Industry is dependent on a reliable and affordable energy supply.
- In recent years it has become evident that the lack of available energy for current and projected demand is a major barrier to Regional and National Economic Growth.

In the Speech from the Throne last year (2005), the government announced it would explore various energy scenarios to develop a New Zealand Energy Strategy. In addition, the address stated that "Priority will be given to renewable energy sources." and that "A more aggressive approach will be taken with respect to energy efficiency…”

This is fine - however Northland communities are using increasing amounts of energy and are becoming increasingly reliant on the delivery of high quality energy services. Our members are asking how as a region we can do better in meeting our future energy needs and what the alternatives are.

In a recent quick survey to Northland Business, initial indications are that 65% of members support the Marsden-B station being fired up and 35% do not support this particular medium.

100% of respondents to date do agree that building capacity now for the future of the Northland Economy is essential.

If the Northland Chamber was asked `I want to set up an energy- intensive manufacturing business in Northland and want some security that for the next 10 years that I will have reasonably reliable electricity at a reasonable cost', how would we answer this question as the situation currently stands?

For this reason the Northland Chamber of Commerce would support the Re-firing of the Marsden B Power station within a sustainable energy framework. (As determined by the RMA)

Tommorrow at the Employers Services / Chamber conference Warren Moyes and Mark Gatland from Northpower will be addressing a session on security of electricity supply. We encourage you to take part in this conference and invite you to call us today to register.

The Northland Chamber of Commerce is the networking, education, advocacy and marketing group for Northland business, and is part of a nationwide network of 30 and a world-wide movement of 27,000 chambers. Subscription to the free fortnightly chamber e-news can be arranged on info@northchamber.co.nz. Enquiries to 09-4384771 or www.northchamber.co.nz, www.kaiparachamber.co.nz and www.farnorthchamber.co.nz

You can have a say on this by going to the Northland Chamber of Commerce Feedback website on www.northchamber.blogspot.com