Timaru councillor questions lack of local representation on Alpine Energy board

Thursday, 5 June 2025

Timaru District councillors Stu Piddington questioned the lack of local representation on the board of community owned South Canterbury lines company Alpine Energy at a meeting this week.

A Timaru councillor has questioned the lack of local representation on Alpine Energy’s board, after it was revealed it signed off on a trip to send the chief executive of the troubled South Canterbury lines company to a conference in the United States.

At Tuesday’s council meeting, councillor Stu Piddington also asked whether the board chairperson had also planned to attend the conference, for board chairs and chief executives, which was organised by the Electricity Networks Association.

Last week, Alpine Energy board chairperson Melissa Clark-Reynolds told The Timaru Herald the company’s chief executive, Caroline Ovenstone, had pulled out of attending the conference the day before she was due to leave, citing “personal reasons’’.

At the time, Clark-Reynolds said it would not have been appropriate for her to attend, given she had resigned from the role of chairperson in April and would leave in August.

Last week, Alpine Energy board chairperson Melissa Clark-Reynolds said it would not have been appropriate for her to attend a conference in the United States, given she had resigned. (File photo)

Piddington’s questions came after Timaru District Holdings Ltd (TDHL) general manager Frazer Munro and chairperson Mark Rogers presented its latest quarterly report.

TDHL had a 47.5% shareholding in Alpine, with LineTrust South Canterbury owning 40% of the company, the Waimate District Council (7.54%), and the Mackenzie District Council (4.96%).

In presenting the report, the pair pointed out TDHL’s property portfolio continued to perform strongly, and said PrimePort Timaru was expected to deliver within budget.

However, Rogers said the Commerce Commission’s recent announcement ordering Alpine to refund customers $16.9m would have a “material impact” on Alpine’s accounts and that would flow on to TDHL.

The refund order followed an investigation into an error which saw the company overcharge customers by millions of dollars over more than nine years.

Piddington, who attended the meeting via Zoom, asked about recent publicity around the trip to New Orleans and said it was the subject he was getting the most feedback about at the moment.

TDHL chairperson Mark Rogers and general manager Frazer Munro, pictured at a meeting earlier this year, delivered the quarterly report for the holdings company on Tuesday before answering questions from councillors.

“My understanding was the chair was also due to go to New Orleans,” Piddington said. “Is that correct and who approves those sort of trips?’’

Rogers replied, “Um no, as far as we’re aware the chair was never intending to go.’’

He referred to Munro for the second part of the question, saying Munro would be able to give an update on who had approved the travel.

Munro said the trip had been approved by the people and capability committee, with the minutes going to the Alpine board for approval.

Alpine Energy director Albert Brantly was chairperson of the board’s People Performance and Culture Committee and Clark-Reynolds also sat on it.

Councillor Stu Piddington questioned a board decision to sign off on the conference given “Alpine’s recent performance” at Tuesday’s meeting.

It assisted the board in fulfilling its responsibilities related to remuneration recommendations, performance targets, and the review of the company's superannuation and pension schemes, the Alpine Energy website said..

It also oversaw “broader people and culture-related matters’’.

Piddington then asked whether the pair thought it was appropriate the trip had been signed off at all “given Alpine’s recent performances and, I guess, lack of public confidence in them’’.

“There has to be a value-add in conferences, so conferences are a common occurrence,’’ Rogers said.

“I contacted the chair and asked about the value-add from such a trip. I was assured there was, in terms of networking and understanding future networks.’’

Rogers said TDHL requested a report be provided to shareholders after the trip. He said this was agreed to, but the trip never went ahead.

The general manager TDHL, which is an Alpine Energy shareholder, said he thought it was “good” Alpine CEO Caroline Ovenstone (pictured) was not travelling to the conference in New Orleans.

But Piddington hit back again, asking, “as our shareholder do you think it’s appropriate given the circumstances around it, that that [the trip] was approved?

“I’m finding it hard to swallow.’’

Rogers said Munro had been quoted in The Timaru Herald saying “we think it’s a prudent move not to be going’’.

“So, I think, under the current situation, it’s good the CE’s not going to the United States.’’

When Piddington asked how many Alpine Energy board members lived in South Canterbury, Rogers replied “zero’’.

“Do you think that’s part of the problem — they don’t get a feel of community,’’ Piddington asked.

Rogers said the lines trust recruitment had a strong focus on local representation, which TDHL supported.

“We think there needs to be local representation on the board,’’ he said.

Piddington asked if the pair agreed that the board was “a bit out of touch” with the local sentiment.

Mayor Nigel Bowen interrupted Rogers’ response saying “we’re probably generalising a little bit, aren’t we?” and added the board’s seven members should be offered the chance to reply.

“I don’t know how you can speak for them, really, that’s my view,’’ Bowen told Munro and Rogers.

Rogers said he had confidence in the directors appointed “from November last year onwards’’.

“I’ll have to work out who they are, Mark,’’ Piddington responded.

Councillors received and noted TDHL’s report.