Updates on Contact Energy / Edison Mission Energy - Friends of Beaumont Inc.


        Updates from May 1999.

        News:

        Alexandra Floods Lawsuit Lodged 5 May 1999

        The first set of legal proceedings against, the Government, ECNZ and Contact Energy Ltd over the 1995 Alexandra floods was lodged in the Dunedin High Court yesterday. Litigation barrister Chris Littlewood is representing 10 insurance companies who have .paid out more than $2 million in damages after the floods.
        'He said yesterday the case was in the name of Laurence O'Connell, Alexandra, optometrist, and was a claim for $94,000, which was the amount Contact had refused to pay. Mr. O'Connell had received a "certain sum" of money already, but not all.
        Mr Littlewood, of Anderson Lloyd in Dunedin, other proceedings would go ahead would depend on discussions with the defendants.
        The consortium of insurance companies alleges hydro-electric dam operators should have taken action to prevent flooding at Alexandra.
        The build-up of silt in the Clutha River and its effect on the flood level was one of the main issues.
        Contact Energy has made settlements for uninsured losses, including property value depreciation and clean-up costs. It has never revealed the amount paid or the number ottlements.
        A cornerstone shareholding of Contact has been sold to American company Edison Mission International and the other shares are being allocated.

        Two Claims against Contact Energy. 12 May 1999

        Two claims have been lodged against Contact Energy Ltd for flooding in Alexandra. It emerged yesterday that Dunedin barrister Edwin Randle had lodged a claim in October last year on behalf of his brother Stan, whose property suffered damage in several floods from 1987 to 1995.
        Mr Edwin Randle said the claim was for $640,000 in property damages, $50,000 exemplary damages, and $50,000 for incon-venience and distress. The claim had not yet been set down for a hearing.
        Mr Stan Randle's apple orchard was partly flooded three times over the years. In the 1995 flood, subsidence under his house caused extensive damage. The Randles got a little Insurance money for equipment in a shed that was damaged,. but otherwise had received no funds.
        A second claim against Contact and the Government was lodged last week, also in the High Court at Dunedin, by the insurance companies which paid out more than $2 million in damages after the 1995 flood, which inundated more than a dozen Alexandra houses and businesses.

        Clutha Guardians to Spearhead Group, (by Jenny Duggan, ODT):

        Alexandra: The Clutha Guardians are spearheading a move to set up a united working party of groups interested in Contact Energy's pans to renew resource consents for its Clutha River hydro-electric dams.
        Guardians chairman Robin O'Brien, of Alexandra, said the proposal had won support from the Friends of Beaumont and Laurence O'Connell's Alexandra Flood Action Group. Mr O'Brien said it was hoped to hold a forum later this year - possibly in August at Millers Flat - to bring together all interested groups and parties for the first time.
        "It will be an opportunity for groups to share their concerns and bring along submissions their group wants to make at the resource consents hearing."
        It was envisaged a small committee elected from the forum would then prepare a submission to the consent hearing, due to be held in 2001.
        Mr O'Brien said groups had originally understood Contact Energy would establish a working party forum to consider issues of concern.
        However, the company had decided to consult parties on a one-to-one basis, on the grounds that each group had different concerns and issues to consider.
        Mr O'Brien believed that process was "manipulative".


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