KEY POINTS:
Transpower has told a parliamentary committee that legislation would be needed for it to pay "enhanced compensation" to Waikato landowners.
The government-owned national grid operator is negotiating with landowners for the right of way it needs for its pylons so it can run new power lines to Auckland.
MPs on the commerce committee raised the issue today during a routine financial review hearing.
National's Richard Worth said in some countries, he mentioned France as one, there was an added "super element" of compensation for compulsory acquisition.
"Is there merit in that in your view?" he asked Transpower chairman David Gascoigne and chief executive Ralph Craven.
Mr Gascoigne said that in France compulsory acquisition was considered to be "a kind of violation of your rights for which you should get something more than the mathematical value of what you've lost".
He said that was a policy issue.
"It's not for us. If that were required to be done that would require, I think, a change to the Public Works Act."
Committee chairman Gerry Brownlee agreed it would need a legislative change.
Mr Craven said enhanced compensation was "something that may be put on the table for further discussion".
He told the committee Transpower was in an unprecedented situation.
"This, for New Zealand, is basically a first -- 97 per cent of our assets don't have underlying easements," he said.
"A lot of the angst that comes with this project is because purchasing a greenfield easement is something new for this country."
- NZPA
