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


Mighty River Power Quarterly Business Update

Commentary – Operating Information

Mighty River Power had gains in sales volumes and pricing in both the retail and wholesale markets over the quarter.

Electricity sales[1] for the three months ended 31 March 2012 increased 7% on the prior comparable period (pcp) to 1,106GWh. This reflected increased sales to commercial customers, which were up 14% on the pcp. Sales volumes to residential customers were the same as pcp despite aggressive market competition driving a 5% reduction in customer numbers compared to the pcp, and a reduction of 2,000 over the quarter. The average energy price earned from customers in the quarter was up 5% on pcp to $111.45/MWh, a less than 1% increase on the previous quarter.

Wholesale market prices were significantly elevated during the quarter reflecting very dry conditions in the South Island. Conversely, strong rainfall in the Waikato Hydro System catchment resulted in inflows into Lake Taupo at 38% above average, supporting higher generation and good storage levels.

As a result, total generation volumes were up 14% on pcp to 1,765GWh and Net Sell CFDs[2] were significantly increased (up 54%), driven by new short-term inter-generator contracts as competitors sought to manage their risk due to the adverse national hydrology conditions. Generation volumes were driven by increased hydro (up 16% to 1,132GWh) and gas fired generation (up 159% to 101GWh), reflecting both favourable hydrology and elevated wholesale market prices. The average generation price achieved during the quarter was $89.91/MWh up 56% on pcp.

Geothermal generation volumes were consistent with pcp at 532GWh, reflecting good availability across the four plants operated by Mighty River Power. Reported geothermal volumes will be lower by approximately 30GWh from the next quarter following the sale of a 10% interest in the Nga Awa Purua plant in April 2012.

The Company’s wholesale market net position for the quarter was long by 54GWh.

© Scoop Media

Business Headlines | Sci-Tech Headlines


Statistics: Building Activity Down In September Quarter
The volume of building activity in New Zealand fell 8.6 percent in the September 2021 quarter, compared with the June 2021 quarter, Stats NZ said today. Residential building activity fell by 6.4 percent in the September 2021 quarter, while non-residential building activity fell 12 percent... More>>

Government: David McLean Appointed As KiwiRail Chair

David McLean has been appointed as Chair of KiwiRail Holdings Ltd, the Minister for State Owned Enterprises Dr David Clark and Minister of Finance Grant Robertson announced today... More>>

Dairy NZ: ‘More Milk From Fewer Cows’ Trend Continues In A Record Year
Vodafone says it has 10,000 customers using its Wi-Fi Calling service. It took less than three months to reach that milestone; the service began operating in September... More>>

Xero: Data Reveals ICT Expenditure Key To Small Business Sales Growth
Xero, the global small business platform, today released a new report which shows New Zealand small business ICT expenditure has increased 25 percent compared to pre-pandemic levels - more than the UK (20%) and Australia... More>>

Fonterra: Lifts Forecast Farmgate Milk Price Range And Revises Earnings Guidance At First Quarter Update

Fonterra Co-operative Group today lifted its 2021/22 forecast Farmgate Milk Price range, reported a solid start to the 2022 financial year and revised its earnings guidance... More>>

Canterbury Museum: New Research - Bald Haast's Eagle Feasted On Moa Guts

New Zealand’s extinct Haast’s Eagle (Hieraaetus moorei), the largest known eagle, gulped down viscera like a vulture and may even have been bald, new research suggests... More>>

ABC Business Sales: Demand High For Covid-proof Businesses
Despite the continuing challenges facing businesses in this Covid environment, right now there are more buyers looking for a small-medium sized business than there are sellers in the market... More>>