Power firms warn of blackouts

BRENDON O'HAGAN/Sunday Star-Times

LIGHTS OUT: Power lines companies are warning customers that electricity could be cut off "without warning", for at least 30 minutes, as the industry gears up for the growing risk of blackouts.

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Power lines companies are warning customers that electricity could be cut off "without warning", for at least 30 minutes, as the industry gears up for the growing risk of blackouts.

Todd Energy chief executive Richard Tweedie said letters from Powerco and Unison lines companies were "the first and most definitive statement that we have got a very serious problem in terms of electricity supply this winter".

Todd's Bay of Plenty Electricity was told to pass the warning on to household customers and tell them to "stock up on candles", he said.

Taranaki electricity lines company Powerco and Hawke's Bay company Unison told power company retailers in a letter yesterday that: "The industry has been closely considering the likelihood of electricity supply shortfalls this year, particularly during winter."

The system is stretched thin because hydro power lake levels are extremely low and gas-fired stations are running flat out.

The letters warned retailers that if there were a "supply shortfall" in a grid emergency, power would be cut to "all consumers" on particular feeder lines "without notice".

"Such interruptions cannot be scheduled or predicted" and cuts would last at least 30 minutes. "It is important that your electricity customers understand that electricity supply cannot be assured at all times," the letter from Powerco customer relations manager Kathy Thomas said.

Unison sent a similar letter to its retail power company customers in Hawke's Bay.

Electricity Network Association chief executive Alan Jenkins said all lines companies would similarly notify customers throughout New Zealand, but this was just "precautionary".

Retail power firms should also identify "at-risk customers" who might be on life-support systems.

"It is prudent to remind people," Mr Jenkins said.

Normally, "automatic" shedding of power would not happen often, but in the current situation, power could go out if a big station suddenly failed, for example.

"Risk is going up," he said, especially if there were no rain in coming weeks: "The lakes are pretty dry. There is no particular risk [of a blackout] yet, but you don't want to warn people the day it happens."

Mr Tweedie could not recall anything like the recent letter being sent out before, though this may have happened in the 1992 crisis, when there were blackouts.

Despite recent comments from Transpower and politicians that there was no crisis, the letter showed in "black and white that we have something serious".

"They are preparing the ground work ... so what do we say? Stock up on candles," Mr Tweedie said.

The warning comes as the biggest power user, the $1.1 billion-a-year Tiwai Point smelter, cut aluminium production by 5 per cent because of high wholesale prices.

The Employers and Manufacturers Association said the lack of reliable power was causing long-term economic damage and the Government's energy policy and related Emissions Trading Scheme were in "tatters".

"Our power supply systems have become ramshackle," EMA northern chief executive Alasdair Thompson said.

On Thursday, State-Owned Enterprises Minister Trevor Mallard said the power system was coping.

- © Fairfax NZ News