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Home / Business / Companies / Energy

Bid to delay wind farm 'an abuse of process'

Grant Bradley
By Grant Bradley
Deputy Editor - Business·NZ Herald·
18 May, 2009 04:00 PM3 mins to read

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An opponent of Contact Energy's plan to build a $1 billion wind farm in Waikato says the company has abused the planning process by calling for a delay to a fast-track hearing.

The power company yesterday asked the board of inquiry to postpone the hearing on its planned 180-turbine wind farm near Raglan for at least a year so it can do more research and site work.

Contact last August welcomed the Labour Government's decision to use the call-in powers of the Resource Management Act and have the application considered by a board as important in removing "unnecessary delays" for a project of national significance.

Yesterday it told the four-person board it wanted a one-year delay - and would support a two-year delay - to the hearing to carry out detailed engineering analysis, consult local councils and better study any risk to bird life from the large wind turbines.

Critics say this is the latest in a series of stumbles, including a directors' fee disaster and poorly timed power price rises last year.

The hearing began last month and some evidence from Contact has been criticised by board members.

Former Affco chief executive and local landowner Ross Townshend said Contact had scored an own-goal. "Contact has done this totally to themselves - while they put forward 2700 pages of evidence it was incredibly poorly done without a page of peer review so they've pulled back."

Townshend has a farm near the wind-farm site and while he does not want it in his vicinity, his main opposition centred on doubts over the economics of wind power and objection to the call-in process, which cuts appeal rights.

"They got a leg up from the previous Government and they've stumbled. I'm opposed to an adjournment. I want an abandonment or forfeiture and once they've done their homework they can go through the resource consent process like everyone else. I think they've abused the process."

A spokesman for the company said the board was seeking information well beyond its "very comprehensive" application.

"I don't think anyone has cocked it up - there have been requests for very high levels of details in some areas and we need to provide that to the panel," he said.

"A year's delay in securing consent is not material in the overall scheme of things."

The company wanted a 10-year consent window to begin the project which, with other large wind-farm proposals, faces uncertainties over equipment cost and economics which will be affected by the final shape of the emissions trading scheme.

Contact had said it would not be building the plant "tomorrow" even if it gained consent but wind power would be an important part of its generation mix.

Wind Energy Association chief executive Fraser Clark said the latest move was unfortunate. "From an industry perspective we need to talk to Contact and see if it's something specific to the approach they've taken or something more fundamental."

The board is to hear from other parties tomorrow on the bid for delay.

Contact shares rose 1c to $6 yesterday.

CHANGING TUNE

* Last year Contact pushed for an urgent hearing for a wind farm plan of "national significance".
* Yesterday it called for a one-year delay to do more work on planning the farm.

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