KEY POINTS:
Vector's chairman Michael Stiassny is in line for a $40,000 pay rise and directors another $20,000 each.
Shareholders will later this month be asked to approve a rise in the chairman's pay from $180,000 to $220,000 and directors' fees from $90,000 to $110,000.
The proposed increases come after Contact Energy angered the Shareholders Association and a power lobby group with its plan for a 95 per cent increase in the fee pool for its board.
Vector has told shareholders in a notice of meeting the fees had not been increased since the company was listed in 2005 and it had to offer competitive fees in order to attract and retain the highest quality directors.
Increasing governance requirements had increased the workload on directors, the company said.
Increases were at the lower end of remuneration recommended by consultants who had studied 12 of New Zealand's largest companies.
Shareholders Association chairman Bruce Sheppard said it was not a particularly difficult company to run but he was not overly concerned about the pay rise.
"Would I get hung up about it for $40,000? No."
