Election 2014

22 Oct 2008

Parties criticise Contact's plan to hike directors' fees

10:10 pm on 22 October 2008

Labour and National politicians have condemned Contact Energy's proposal to double fees for its directors.

Labour energy spokesperson David Parker said it was extraordinary that Contact was considering the move when people are having to tighten their belts, and when the company has announced a price increase of 10%.

Labour leader Helen Clark said she was "absolutely staggered" to read that the directors think they are worth $250,000 a year for what is part time work, at the same time that power consumers are asked to pay an increased prices.

National leader John Key was also disappointed with the move at a time when New Zealanders are being asked to tighten their belts because of the economic conditions.

"I would have thought it would have been appropriate for the directors of Contact to take that on board especially given the price increases that are flowing through to consumers.

So my preference would have been if they'd shown some more restraint at this time."