The proposal to install an additional transformer at the Mataroa substation which supplies electricity to all customers in and around Taihape and Waiouru was put to the community by lines company Powerco and national grid operator Transpower.

The second transformer at Mataroa would have been able to maintain power supply to Taihape and Waiouru during annual summer maintenance shutdown. The Mataroa site, known as a grid exit point, connects to Powerco’s network which in turn distributes electricity to all properties in the surrounding area.

The extra transformer would have cost around $4 million and been funded through an increase in the transmission charges included in electricity accounts for Taihape and Waiouru consumers over a period of 20 years.

Two repayment options were offered: one evenly splitting the cost over all 3328 affected customers and equating to about $12.50 extra a month; and the other, based on an increase per unit of electricity consumed and weighted a little more heavily against commercial users, leaving the average home with an additional $4 to $5 monthly charge. Both options were declined by respondents to a survey run by Powerco and Transpower.

After a three-month publicity and information campaign, and six-week voting process, consumers overwhelmingly rejected the proposal to install the second transformer at any cost.

Powerco spokesman Matthew Ogier said the 91% vote opposing the proposal was consistent with feedback the company had received.

“Only 140, or 4.2%, of the 3328 affected customers responded directly to the poll,” said Mr Ogier, “This result matches the feedback from the consultation activities Powerco conducted including public meetings, the phoned-in and emailed comments, and the feedback from the public as it was reflected in the local media.

“In all, the people of Waiouru and Taihape clearly point to the fact that they would rather deal with the occasional planned power cut than pay more in their monthly power bills. We understand and accept that and as a result the proposal will not be proceeding.

“Consumers indicated they would have liked a back-up transformer if it had been provided without increasing transmission charges. However most people indicated they understood Transpower needed to recover the costs and make a return on the increased investment.”

However, Mr Ogier did not rule out the back-up scheme for ever.

“Consultation is an ongoing process and, if at some time in the future, Taihape people change their minds, then a second transformer is entirely possible,” he said.

Powerco wished to thank all those who took part in the consultation process.

“It has been a valuable price-quality consultation exercise for Powerco and we hope that it has provided the community with some useful insights into the electricity industry and the issues we face a as a rural network provider. There is no doubt that this decision accurately reflects the will of the people and Powerco and Transpower will reflect that in our future planning,” said Mr Ogier.

The push for the second transformer came from Taihape residents, mostly commercial users, who were becoming increasingly irritated by the annual maintenance work due to disruptions to weekend trading, as well as those with an eye on the town’s image and ability to attract potential new residents.

Each year Powerco works with the local community to schedule the maintenance outage of six to ten hours at a time designed to minimise disruption to the majority of customers.

Powerco is New Zealand’s second largest electricity and gas distribution utility with around 400,000 consumers connected to its networks. Powerco’s electricity networks are in Tauranga, Thames, Coromandel, Eastern and Southern Waikato, Taranaki, Wanganui, Rangitikei, Manawatu and the Wairarapa. Its gas pipeline networks are in Taranaki, Hutt Valley, Porirua, Wellington, Horowhenua, Manawatu and Hawke’s Bay.