1938 - Hydro scheme shut down

In 1938 the Whakatāne Borough Council agreed to shut down the Karaponga hydro scheme and purchase its electricity directly through the Electric Power Board.

In its final year of production 1938; 1,424,182 units were generated by the Karaponga hydro scheme, supplying 565 consumers, 130 ranges, 135 hot water cylinders and 91 electric motors.

The scheme was officially closed in November 1939, with some of the power station equipment being sold. The closure of the plant left the Borough Council with £96,000 of outstanding loans on the scheme which would take until the 1950’s to repay.