AURORA Energy says claims that Tasmanian electricity price rises are linked to the company's financial position are incorrect and misleading.
Chief executive Peter Davis today moved to assure customers that prices were independently set by Tasmania's economic regulator.
``The price Tasmanians pay for electricity is completely unrelated to the financial management of Aurora Energy or anyone else,'' Dr Davis said.
``Commentators should understand that the independent Tasmanian Economic Regulator sets prices based on the efficient cost of delivering safe and reliable electricity.''
Dr Davis said it was well understood that Aurora Energys debt level had increased significantly, largely as a result of the expenditure of $367 million to build the Tamar Valley Power Station.
He said Auora's workforce had increased because significant additional resources were required to cater for the increasing complexity of the business and an unprecedented $588 million program of work to improve capacity and reliability in the distribution network over five years to 2012.
``Between 2002 and 2008, Aurora has been required to increase the capacity of Tasmania's poles and wires system by 26 per cent from 845MW to 1073MW to cater for the growth in peak power demand in the State.''
Dr Davis said Aurora looked forward to explaining all elements of its financial position at the Expert Panel Review of the Tasmanian Energy Industry and at the annual Parliamentary Scrutiny Committee hearings later this year.
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