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July 18, 2024 • 6 mins

Northland's MP says a business lost almost half a million dollars thanks to the recent major power cut.

Grant McCullum is calling on Transpower to compensate Northlanders with discounted transmission fees for a year.

Nearly 100,000 people lost power last month when a tower toppled after maintenance crews unbolted three legs of a pylon at once.

McCullum says a big timber mill had to shut for five days - costing it nearly $500,000.

"This is an opportunity for all Northlanders to get something back, because everyone was affected. Whether it was your people at home having cold showers - or that sort of thing."

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Speaker 1 (00:00):
And the battle for competition between Northlanders and Transpower has
stepped up a notch. Northland MP Grant McCullum has written
to Transpower saying it has a moral duty to provide
compensation after one hundred thousand Northlanders lost power because of
transmission power toppled over in June. Alternatively, Grant McCullum says
Transpower should consider a discounted transmission charge for all Northlanders

(00:23):
for a year. He's with us this evening, good evening, Hey.

Speaker 2 (00:27):
Good eating Jackson, the lovely chat of a high waii.

Speaker 1 (00:30):
Oh gorgeous. You're in paradise? Is there power there this evening?

Speaker 2 (00:33):
Grants, Well, it's a light time, so that's a good sign.

Speaker 1 (00:36):
That is a very good sign. Yeah, it makes a
nice change. So have you heard anything from Transpower yet?

Speaker 2 (00:41):
No. I have not had any response yet. But that
seems you pass the course of them to a degree.
So I wait, with Beita breath, just.

Speaker 1 (00:48):
Just talk us through why you think they have a
moral obligation. It was a contractor working for Transpower who
didn't have the nuts on the bolts right.

Speaker 2 (00:57):
Absolutely, yes, But ultimately they're responsible for the contract and
and the reason I feel they have a moral obligation
is this was not an active god. It was an
active incompetence and and everyone just shakes their head at
what happened. And it's caused a lot of costs, a
lot of people, a lot of money, a lot of
small businesses and orphans had it pretty rough up here.

(01:18):
And it was almost like the last straw with road
closures and storm damage and so forth, and and that,
and and it's just not fair for the businesses of
Northland yet to be at the cost of the incompetence
of Transpower.

Speaker 1 (01:31):
So took us through what your constituents have reported to
you in terms of their losses. Because your letter to
Transpower says that one business lost almost half a million dollars.

Speaker 2 (01:42):
That that's correct, Yes, one of the one of the
more substantial businesses in the far North.

Speaker 1 (01:47):
And ask you that.

Speaker 2 (01:50):
J and L the significant the big mill to the
mills up there. They just shut down for five days. Yeah,
and that's big. It's a really big cost. And other
big businesses in north and had to shut down for
longer than the twenty four hours. So that because they
know you had the cement works Portland Cement Works. He
had Fonterra at the plants amongst and color engineering amongst others.

(02:14):
They shut down for longest so they weren't using the
high power users, so the rest of us could have power.
So and that's that's where the big losses came. And
I know some of them at their excess is more
than their loss.

Speaker 1 (02:26):
Yeah right, I mean you you would hope that for
those big for the big firms, right, they would have
some sort of insurance arrangement that allowed them. But it's
probably the probably the sms, right, they're going to be
that are going to be hurt the most.

Speaker 2 (02:37):
Absolutely. I taught at the market that last weekend in
Kenny Kitty, and the guy talking to a guy there
who sells pizzas and stuff, he lost twelve undred bucks
worth of stock and so forth. Or in preparation he
had for his evenings work, all the stuff he had,
he lost all the day and everything. And that costs
a lot of money. And there's it's all relative, right,

(02:57):
But we should not they should not have to be
at the cost, nor should they have to be at
the cost of the excess or the hassle of going
to an insurance company. I think this is an easy
solution for everybody.

Speaker 1 (03:07):
So do you reckon if Transpower agreed to this, then
that would mean that people wouldn't be able to go
and make insurance claims. They wouldn't have to pay the excess,
but they also wouldn't be making a claim. Is that
how you said this working?

Speaker 2 (03:20):
Well? Most likely ultimately people can still and actor as individuals.
But if Transpower do this, they would not be obligated
to do it. This would be obligated to do anything
as it happens, as far as I understand it. But morally,
by damn they they own Northland. Right. Whether individuals want
to pursue direct claims or not, that's over to them.

(03:40):
But this is an opportunity for all norful this to
get something back because everyone was affected, whether it was
your people at home and to had their whole their
day interrupted and the cold showers or whatever, all that
sort of thing. So that way everyone gets benefits because
everyone uses power.

Speaker 1 (03:58):
Yeah right, and so talk to us, how how you
think that the discount would actually work. Would it be
like a percentage thing?

Speaker 2 (04:05):
Yeah? Well, they they they charged so much a unit
of power to transmit the power up here, and we
just lower that cost and then and then the retailers
will pass it on. And I heard your comments earlier
of someone's comments low behold any retailer that refused to
pass it on or didn't will I think that would
be not be very good pr for them.

Speaker 1 (04:27):
No, no, it wouldn't. So you're a national EMPA. G
aren't You're in government?

Speaker 2 (04:30):
Correct?

Speaker 1 (04:31):
Can you do more about this than just writing a letter?

Speaker 2 (04:34):
Ultimately, as you would realize, transpowers and the SOE, so
they operate at arms length from the government, so speak.
So they've got an independent board and a c with
a CEO, and that's who I've written to, and so
can we directly tell them to instruct them? No, it's
over to them to actually do it. That's my understanding.
It's how the SOE model works.

Speaker 1 (04:53):
What does Sime and Brown think of the suggestion?

Speaker 2 (04:56):
Well, he encouraged me to write to be a good
locally m P and right on their behalf. But ultimately
he's he's like he is a minister, but he's he's.

Speaker 1 (05:06):
Going to care.

Speaker 2 (05:08):
Yeah, yeah, yeah, he can't control what the board's here.

Speaker 1 (05:10):
No, no, no, he certainly can't. You know what grant
The thing is that the person who is usually in
the slot on newstalk's He'd Be. Heather has had a
bit of a back and forth. Shall we say when
it comes to Transpower? I can I think you know
we're all about comby our moments in this business. How
about this? How about Transpower agrees to your suggestion all
Northlanders get discounted transmission fees for a year. But how

(05:33):
about the boss of Transpower announces this on Heather Duplicity
Allen's show on news Talks He'd Be. Wouldn't they be perfect?
Then everyone can come back together absolutely perfect.

Speaker 2 (05:44):
That's exactly what they should do, and then suddenly all
will be forgiven that there won't be any be no
more clown music.

Speaker 1 (05:51):
Were careful, Grant, We're going to reserve the right to
make any any decisions when it comes to the production
music on our show. Hey, thank you so much, you
take care. Great to chat. That is Norfolk MP Grant mccoon.
For more from Hither Duplessy Allen Drive, Listen live to
News Talks a B from four pm weekdays, or follow
the podcast on iHeartRadio.
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