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


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 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.


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.


© Scoop Media

Business Headlines | Sci-Tech Headlines


DIY: Kiwi Ingenuity And Masking Tape Saves Chick

Kiwi ingenuity and masking tape has saved a Kiwi chick after its egg was badly damaged endangering the chick's life. The egg was delivered to Kiwi Encounter at Rainbow Springs in Rotorua 14 days ago by a DOC worker with a large hole in its shell and against all odds has just successfully hatched. More>>


Trade: Key To Lead Mission To India; ASEAN FTA Review Announced

Prime Minister John Key will lead a trade delegation to India next week, saying the pursuit of a free trade agreement with the protectionist giant is "the primary reason we're going" but playing down the likelihood of early progress. More>>



MYOB: Digital Signatures Go Live

From today, Inland Revenue will begin accepting “digital signatures”, saving businesses and their accountants a huge amount of administration time and further reducing the need for pen and paper in the workplace. More>>

Oil Searches: Norway's Statoil Quits Reinga Basin

Statoil, the Norwegian state-owned oil company, has given up oil and gas exploration in Northland's Reinga Basin, saying the probably of a find was 'too low'. More>>


Modern Living: Auckland Development Blowouts Reminiscent Of Run Up To GFC

The collapse of property developments in Auckland is "almost groundhog day" to the run-up of the global financial crisis in 2007/2008 as banks refuse to fund projects due to blowouts in construction and labour costs, says John Kensington, the author of KPMG's Financial Institutions Performance Survey. More>>


Health: New Zealand's First ‘No Sugary Drinks’ Logo Unveiled

New Zealand’s first “no sugary drinks logo” has been unveiled at an event in Wellington... It will empower communities around New Zealand to lift their health and wellbeing and send a clear message about the damage caused by too much sugar in our diets. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news