Power bills prove crippling

Increasing power prices are forcing low-income Rotorua families and beneficiaries to either go without electricity or to borrow money to avoid having their supply cut off, say social service providers.

Last year, the Ministry of Social Development paid more than $10,000 in special needs grants to 51 Rotorua low-income earners and beneficiaries facing final notices from power companies - nearly double the amount granted in 2002.

Recoverable advances against benefits for power bills also jumped, from $260,000 in 2002 to more than $300,000 last year.

Rotorua Beneficiaries and People's Advocacy Centre adviser Paul Blair said he was dealing with many clients either going without power or sinking deeper into debt as they faced rising power costs.

Salvation Army Community and Family Service Centre manager Sandra Thomas said demand for food parcels had increased. High power bills were the main reason.

- NZPA