Kawerau P&P Mill Claims Threat by Changes to Power Cost
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According to a report this past week by Stuff, (Fairfax, New Zealand) changes to the way New Zealand's electricity transmission is paid for would threaten the viability of the Kawerau pulp and paper mill, the operator claimed.
Under the nation's Electricity Authority proposal, released earlier this year, some regions will have to pay more for the benefit of better infrastructure, as a fairer way to pay for the national grid.
"We're a very significant user of electricity as part of our manufacturing business. Fundamentally, what's being suggested does represent a significant risk to us longer term in terms of being viable," said Aaron Buist, a mill operations manager for the company.
The mill, owned by Norske Skog (Oslo, Norway) is a major employer in Kawerau, a city in the Bay of Plenty region of North Island, New Zealand.
