Dunedin City Council-owned infrastructure company Delta has renewed its electricity and fiber optic network maintenance contract with Network Tasman. The contract is worth 40 million US dollars, effective for a period of five years.
The Network Tasman electricity distribution network supplies power to more than 38,000 residential and commercial customers across 10,800sq km. In Tasman, Delta employs 54 staff, from a main depot in Hope and regional depots in Nelson, Motueka, Murchison and Takaka.
Delta manages the Aurora Energy network in Dunedin and into Central Otago but in recent years has been heavily criticised for its involvement in some loss-making subdivisions and debts owed to it, and for its closure of other branches and job losses beyond Otago.
Dunedin is the second-largest city in the South Island of New Zealand, and the principal city of the Otago Region. While Tauranga, Napier-Hastings and Hamilton have eclipsed the city in population in recent years to make it only the seventh largest city in New Zealand, Dunedin is still considered to be one of the four main cities of New Zealand for historic, cultural and geographic reasons. Dunedin was the largest city by territorial land area until superseded by Auckland on the creation of the Auckland Council in November 2010. Dunedin was the largest city in New Zealand by population until about 1900. The city population is around 120,250. The Dunedin urban area lies on the central-eastern coast of Otago, surrounding the head of Otago Harbour.
Delta has provided the service to Network Tasman since April 2011, and the renewal period is from April 2016 to March 2021. The contract is expected to total about 40 million US dollars during the next five years.
Network Tasman chief executive Wayne Mackey said in a statement Delta had consistently provided a high level of service to its Tasman consumers and the company was pleased to be renewing the contract.
Delta chief executive Grady Cameron said he was ”delighted” to be Network Tasman’s preferred service provider, in having the ”significant” contract renewed.
Under the contract, Delta is also responsible for building and maintaining Network Tasman’s consumer fiber optic communications network around Tasman and Marlborough.
Delta also provides network maintenance to Nelson Electricity’s network in Nelson.