Scheme's future uncertain

The future of a multimillion-dollar hydroelectric power scheme under construction south of Millers Flat hangs in the balance following a Central Otago District Council hearings panel yesterday.

Talla Burn Generation Ltd was granted resource consent to build the scheme and to transmit the power to the Lawrence substation in July 2007.

However, landowners refused to have power lines cross their land so the company has now applied for land use consent to install power lines to transmit the electricity along road reserve to the Ettrick substation.

Council planning consultant David Whitney recommended the council grant the application with 16 conditions, including locating the 33kV line on existing power poles and using underground cabling.

Talla Burn Generation project engineer Paul Wilson said the cost implications of those conditions would make the scheme financially unviable.

Underground cabling would cost 13 times more than overhead lines. The company could not put its cables on existing power poles without replacing them, increasing costs by up to 300 per cent. Of the total 18.4km of proposed line only 10 per cent was classed as a restricted activity because it passed residential areas. He said the line would be buried through the Millers Flat residential area.

Mr Wilson said the scheme would result in cheaper electricity for homes in the Ettrick area. It would be selling the power to a new retailer, which would reduce power bills by 10 per cent.

The 2-megawatt power scheme would meet the needs of up to 1000 homes. He hoped it would be running by July 2010. Mr Wilson said the scheme could not go ahead if the consent was declined despite the company starting construction a year ago.

Talla Burn Generation is owned by Beaumont Station owner Alan Hore and Roxburgh electrician Jeff Wilson.

Millers Flat residents Tui and Andrew Moore submitted in part opposition to the proposal. They wanted more community consultation and were concerned about where the poles would go along the Millennium Track and their effects on the visual environment.

The panel reserved its decision.

joanne.carroll@stl.co.nz

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