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

 


Mighty River Power Quarterly Operational Update

Mighty River Power Quarterly Operational Update


Three months ended 31 December 2015

Quarterly Highlights

· 98% geothermal availability led to the highest geothermal generation for a quarter in the Company’s history

· 10% increase in hydro generation despite weak inflows

· 2% increase in LWAP/GWAP reflecting a reduction in relative hydro yields due to muted wholesale price volatility


GEOTHERMAL AND HYDRO GENERATION UP; WHOLESALE PRICES DOWN

The quarter to 31 December 2015 reflected strong geothermal performance as Mighty River Power had its highest-ever quarter of geothermal generation, up 12% on the prior comparable period (pcp), to 728GWh. This high geothermal generation reflected 98% availability of the Company’s geothermal plants during the quarter.

The period also saw a 10% lift in hydro generation, up 81GWh on pcp to 907GWh. The wet winter turned into a dry spring in the catchment with quarterly inflows being the seventh lowest based on history since 1927. The quarter ended with storage in Lake Taupo of 387GWh, 67% full and 89% of average.

National hydro storage was above average for most of the quarter, leading to lower wholesale electricity prices. The price the Company received for generation was down 13% on pcp to $67.91/MWh. Relative hydro yields (GWAP) also fell versus pcp contributing to an increase in LWAP/GWAP by 2% to 1.03. This was due to a flatter generation profile in response to lower wholesale price volatility.

There was a significant decrease in thermal generation for the period as the Company prepared its Southdown station for closure on 31 December 2015. Mighty River Power’s electricity generation is now 100% renewable.

NATIONAL DEMAND GROWTH CONTINUES - RECORD FOR Q2; ASX PRICES LIFT

National demand for electricity rose to the highest level for Q2 on record, up 0.9% compared with the same period last year (adjusted for temperature). This is the sixth consecutive quarter where demand has increased on pcp, with a reduction in demand from urban centres being more than off-set by increases across dairy, irrigation, industrial and rural centres.

Throughout the quarter, ASX futures prices increased for each year from FY16 to FY18. This continuation of an upward trend increases the attractiveness of commercial yields, which tend to track the ASX futures.

ENERGY PRICES DOWN 1.5%; VOLUMES DOWN 7%

A reduction in overall customer sales volumes reflects the highly competitive market across both residential and commercial. The average electricity price to customers was $110.94/MWh, lower than pcp. This was due to additional discounted offers to customers and Mighty River Power absorbing increases in lines and transmission costs for its customers on fixed-price contracts.


Mighty River Power will release its financial results for the six months ended 31 December 2015 on 23 February 2016.


ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Trade Plans: Prime Minister's Speech To International Business Forum

"The work to improve public services, build infrastructure, and solve social problems is possible only because we have enjoyed sustained, solid economic growth. A big reason for that is the Government’s consistent agenda of economic reform, and our determination to open up more opportunities for trade with the world." More>>

ALSO:

Media: TVNZ Flags Job Cuts To Arrest Profit Decline

Chief executive Kevin Kenrick said the changes were aimed at creating "a sustainable future video content business for TVNZ in an ever-changing media market." More>>

ALSO:

Reserve Bank: Wheeler Keeps OCR At 1.75%

Reserve Bank governor Graeme Wheeler kept the official cash rate unchanged at 1.75 percent, as expected, and reiterated his view that the benchmark rate doesn't need shifting for the foreseeable future. More>>

ALSO:

f work for Pumpkin Patch staff

Retail: Pumpkin Patch Brand, IP Sold To Catch Group

The receivers of failed children's clothing retailer Pumpkin Patch have confirmed that the company's brand and intellectual property have been sold to Australian online retailer Catch Group. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news