Pylons electrify farmers

Monday’s outage of electricity in Auckland, and the actions of a Waikato farmer, reflects widespread frustration about compensation for electricity transmission infrastructure.

“Having known Steve Meier for a number of years he’s not a difficult person but a highly frustrated one,” says Stew Wadey, Federated Farmers Waikato provincial president.

“Here you have a person who has warned Transpower repeatedly of the risk to its transmission assets but has been fobbed off. Mr Meier saw the cables on his farm progressively sag and it’s this which led to the fire and another power outage for our largest city.

“What people saw on television was someone at the very end of their tether. While blocking access to repair personnel was poor form on his behalf, he genuinely saw this as the only means to publicise his frustration.

“Federated Farmers does not condone Mr Meier blocking repair or maintenance personnel. I can see why he did it but it’s no way to get the public on side. Electricity is vital to life.

“In saying this, he and his wife are one couple against a state owned machine. Federated Farmers is moving to support Mr Meier and other farmers in their dealings with Transpower.

“If we can get Dr Patrick Strange up here for a face-to-face with Mr and Mrs Meier, I’m certain we’ll get cut-through. Federated Farmers is keen to facilitate such a meeting as it’s time to sit down as reasonable people, leaving the lawyers and spin doctors in Wellington,” Mr Wadey finished by saying.

Meanwhile, Federated Farmers electricity spokesperson, Philip York, is making urgent contact with the Minster of Energy, the Hon Gerry Brownlee. The Federation is seeking resolution over compensation for new transmission infrastructure.

“Last year’s NZIER report - Compensation for transmission infrastructure - validated the need for Transpower to offer market based payments that are subject to regular valuation reviews,” Mr York says.

“While our focus is on the infrastructure that is to be built, feelings like what Mr Meier has expressed can be found around the North Island. Transpower is using its considerable legal powers over farmers with the cheque book in reserve where necessary.

“Yet I ask you this, is that the most efficient means to build or strengthen our transmission infrastructure? The NZIER report actually says no, it is not.

“That’s why Federated Farmers is promoting a private members bill that will force Transpower, a state owned enterprise, to offer annual payments for new transmission infrastructure. We’re hoping the Government will look to adopt this as a public bill. It’s a big reason why we urgently need to speak with the Minister.

“The Federation isn’t looking to make this type of compensation the default, but to have it as part of the mix. Farmers understand the concept of an annual payment with regular review that reflects both the value and use of land.

“We’re hoping the Government will see that by giving the option of annual payments, it will speed up transmission infrastructure delivery saving money over the long term. It’s a commercial solution to what is a very emotive subject.

“Instead of pylons being a liability to current farmers, where past owners have taken the lump-sum and run, rentals turn these pylons into a commercial asset. Farmers actually start farming the pylons,” Mr York concluded.

For a copy of the NZIER report Compensation for transmission infrastructure click here.