The Central Lakes Trust has received an ear-bashing from the Otago Fish and Game Council about its involvement with Pioneer Generation, which plans to build two dams on the Nevis River.
Councillors slammed the trust at a meeting in Cromwell this week, criticising the organisation's role in appointing Pioneer Generation directors.
Fish and Game Otago chief executive Niall Watson said there was "grim irony" in the fact the CLT allocated money from its investments to the community.
"In this case, CLT could be consuming local natural resources of significant value [through supporting Pioneer Generation's planned development on the Nevis] to generate money to give back to the community. I think it is fair to say that investment in the destruction of something like the Nevis by a local agency would be unethical," he said.
Cr Dan Rae said it was also "pretty rich" for the trust to give money to upgrade Old Cromwell Town's historic precinct while at the same time it was prepared to support the "destruction of a historic precinct at the Nevis".
He said through appointing directors of Pioneer Generation, the trust might come under scrutiny for what the power company was planning.
"If enough people around and within Central Otago are upset at the loss of the Nevis, perhaps some of the trustees within the CLT may wish to rethink their electoral support," Cr Rae said.
Mr Watson said it would be worthwhile approaching the trust to discuss the proposed Nevis development and the organisation's involvement in it, but he was sceptical about the trust's likely response.
"I'm sure we will be told that Pioneer Generation is a company of which the trust appoints directors at an arm's length, and that the trust simply acts as a shareholder."
However, the council resolved to contact the trust about making a presentation to its trustees, during which it would outline its concerns about the Nevis development.
