Luxton Clarifies Electricity Statement

Food and Fibre Minister John Luxton in a statement tonight said that the media should not confuse statements he made in the House today, with statements made on behalf of the Minister of Energy, the Hon Max Bradford.

"When I spoke about cross-subsidisation and the beginning of the power reforms, I was referring to the time when I became Minister of Energy in 1990 and even prior to that when the initial reforms began under the Labour Government."

"Comments made by Mr Bradford about the power price reductions relate to the third wave of electricity reforms which he began last year. The two were quite separate."

"Consumers now have a choice about whether they accept power price rises imposed by some power companies or move their custom elsewhere. In some areas such as Electra Power Company there are already reductions and rebates for households. The electricity reforms have reduced costs in some areas, and the Government expects to see similar reductions during the year in line with Mr Bradford's comments, " Mr Luxton concluded.