Col­umn re­sponse

The Dominion Post - - Opinion -

The NZ Ini­tia­tive’s Eric Cramp­ton (Storm brew­ing in coun­try’s power mar­kets, April 16) ac­cuses me of claim­ing that ‘‘the elec­tric­ity in­dus­try is run by a bunch of oli­garchs in­tent on do­ing evil things’’. He misses my point en­tirely. The elec­tric­ity in­dus­try is run by a bunch of oli­garchs in­tent sim­ply on mak­ing money.

In this coun­try, as the Com­merce Com­mis­sion has re­minded us, ‘‘the ex­er­cise of mar­ket power to earn rents is not by it­self a con­tra­ven­tion of the Com­merce Act, but is a law­ful, ra­tio­nal ex­ploita­tion of the abil­ity and in­cen­tives avail­able to the gen­er­a­tors’’. Price-goug­ing cap­tive, low-in­come cus­tomers is the eas­i­est way to bring in heaps of money, and has the bless­ing of our Par­lia­ment.

The re­sult­ing en­ergy poverty is sim­ply col­lat­eral dam­age – noth­ing per­sonal, just busi­ness.

GE­OFF BERTRAM In­sti­tute for Gov­er­nance and Pol­icy Stud­ies, Vic­to­ria Uni­ver­sity of

Wellington

Newspapers in English

Newspapers from New Zealand

© PressReader. All rights reserved.