Mighty River Power continues to produce impressive statistics
as it readies itself for a partial float on the NZX this
year, subject to a final Supreme Court judgement.
The Government plans the partial sale of Mighty River Power,
Genesis Energy and Meridian, possibly all this year, subject
to a final appeal to the Supreme Court by the Maori Council.
The Green Party is also in the final stages of collecting
enough signatures to force a citizens-initiated referendum
seeking to stop the sales. Prime Minister John Key has ruled
out abiding by the referendum, as it is not binding on the
Mighty River Power's operational update for the three months
to December says the company achieved market share gains in
both electricity sales to customers and generation volumes in
Total sales to customers increased by 12% on the previous
corresponding period (pcp), with volumes increasing from
1132GWh to 1272GWh.
The company also had increases in sales volumes to both
residential and businesses customers compared with the pcp.
The majority of the gain came from a 22% increase in volumes
to business customers.
The price of sales to customers remained consistent with the
pcp at $110.53 a MWh, Mighty River Power said.
Total electricity purchase costs fell 27% - from $83.20 a MWh
to $61.14 MWh, reflecting lower wholesale prices and the
increased capacity following Transpower's commissioning of
the North Island grid upgrade project at the end of October.
Total generation increased by 6% compared with the pcp. Hydro
generation was up 13%, reflecting effective use of hydro
storage which had received the benefits from high inflows in
the previous quarter.
Generation at the company's gas-fired power station in
Auckland was down 48% as Mighty River Power responded to
lower wholesale prices in the market.
Wholesale market pricing fell in the quarter as the result of
high national inflows into Mighty River Power's competitor's
South Island catchments. That affected the average price the
company received for its total generational sales which fell
by 19% on the pcp.
However, the price received during the quarter outperformed
the market, supported by the company's flexible portfolio,
particularly the ability to utilise storage and flexible
plant to respond to wholesale market prices, the company
Mighty River Power
Highlights of the quarter were:
• Electricity sales to customers rose 12%
• Overall generation volumes were up 6%
• Flexible generation let MRP achieve average generation
price of $62.25 a MWh.