Source: New Zealand Labour Party
Labour is calling on the Government and Mercury Energy to find a solution to the proposed Winstone Pulp mill closure and save 230 manufacturing jobs.
Winstone Pulp International is now looking to close its mills because the spot price for electricity is the highest it’s ever been and it can’t afford to operate.
Yesterday Winstone Pulp said Mercury Energy has increased its fixed price offer by 56% and will only enter the deal if it’s fixed for 10 years. Winstone Pulp said it can’t afford that and will be forced to close.
“We can find a solution here, and save 230 manufacturing jobs,” Small Business and Manufacturing spokesperson Helen White said.
“That solution is Mercury Energy offering terms closer to those on their expiring offer. I call on the Government to step in and broker a solution between the energy company and the mill and find a way to keep it open and people in work.
“The energy companies published significant profits over the last 12 months. The Government has therefore received higher dividends from its shares in these companies than expected.
“The mills support the town of Raetihi, and surrounding areas. People rely on this manufacturer to stay open and have said they will be forced to leave their homes, whanau and community if it doesn’t.
“I call on the Government to help these workers and their community,” Helen White said.
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