Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Electricity Prices Climbed Again In July

Average wholesale electricity prices continued their steep upward trend in July as icy temperatures around the country saw demand soar. Demand for electricity in July was around 6.9% higher than the same time last year and around 2.5% higher than in June. Other contributors to the price increase included lower than average inflows and transmission constraints.

The average monthly price at Benmore, the South Island reference point, rose sharply to 23.82 c/kWh, up from 16.97 c/kWh in June. The lower North Island reference point at Haywards recorded a similar price increase to 23.68 c/kWh, up from June’s figure of 16.61 c/kWh. The average price at Otahuhu, the reference point for the upper North Island, also rose to 14.90 c/kWh from 7.39 c/kWh in April.

Dryer than average conditions failed to replenish the country’s main hydro lakes, which also contributed significantly to July’s high wholesale prices. At the end of the month national storage was at 1,328GWh, 56% of the average for that time of year, with South Island storage at 56% of average. Lakes Tekapo and Pukaki, which account for almost 55% of New Zealand’s total storage capacity for hydro-electric generation, recorded storage levels of 33% and 41% respectively at the end of the month.

Transmission constraints limited the volume of electricity that could be transported from generation plant in the Taranaki region, which meant other generation had to be used instead. The grid operator has since eased this constraint. Additional constraints around the Wellington region and in the South Island led to occasional price spikes, which impacted significantly on average wholesale prices.

For daily updates on price, demand and hydrology since the beginning of August please visit www.save-electricity.co.nz or www.m-co.co.nz.
-ends-

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Elsewhere:


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>