A historic deal for free power to pump water to Lake Roxburgh village should continue when there is a new pipeline for the township's water supply, the Roxburgh Community Board believes.
The deal dates back several decades, to when Lake Roxburgh, formerly the hydro village, was "handed over" from Electricorp to become the responsibility of the territorial local authority.
At this week's community board meeting, board chairman Stephen Jeffery said he and Cr John Lane, of Roxburgh, had met representatives of Electricorp's successor, Contact Energy, to discuss the "power credits".
The board is constructing a new pipeline, costing about $600,000, to pump treated water from Roxburgh to Lake Roxburgh. This was seen as the most cost-effective solution to sort out ongoing problems with the quality of Lake Roxburgh village's water supply.
"One of the consent conditions [when the local authority took over the village] was that they would provide power for the pumps free of charge forever," Cr Lane said.
"It's right there in black and white in the resource consent from the Housing Corporation of New Zealand on behalf of Electricorp."
The board had asked Contact for an average unit usage, he said.
Mr Jeffery said the deal related to the village water supply only. At present the deal covered power worth "a few thousand dollars" to pump the supply to the village.
The board believed the deal should continue when Lake Roxburgh was served by the new pipeline and had sought an average unit usage from Contact, rather than a lump sum.
"That way, if the power goes up, we won't be left short."
