Yes (me too)a very good example especially as GNX has solar farms too which provide the energy to pump the water back up,rinse and repeat.
Printable View
From this mornings Herald...
Forsyth Barr said the August 9 blackouts and subsequent fallout had dominated the month.
There had also been unexpected Cook Strait cable constraints and record carbon prices.
"We are more cautious on the near-term outlook for the electricity sector than we have been historically, with regulatory/political risk rising a notch in August and the spread between dividend yields and market interest rates falling to a record low," Forsyth Barr said.
Forsyth Barr has given Mercury, Meridian and Trustpower an "underperform" rating.
Genesis Energy is the only stock rated as "outperform" by the broker.
August 2021 was "probably the most remarkable month" in the electricity market since it began 25 years ago, with three significant and unusual events - the August 9 blackouts, the level 4 lockdown and constraints on the HDVC link.
These events occurred against a backdrop of improving hydro storage conditions with hydro storage lifting from 109 per cent of average at the beginning of the month to 127 per cent of average by month end.
"Of these events, the blackouts have the potential for the greatest sector-wide impacts, with four investigations taking place," Forsyth Barr said.
In addition to the three wholesale electricity market events, on September the Government held its third NZ carbon unit auction which saw the spot price spike to $59 a tonne.
https://www.bbc.com/news/world-europe-58556073 Price of power and gas rising dramatically across Europe. Begs the question, will it happen here?
Maybe one day all of the world's power grids will be connected to avoid these sort of things.
Australia is doing an underwater cable to singapore.
Low-user electricity tariffs will be phased out over 5 years
https://www.stuff.co.nz/business/126...t-over-5-years
I'm not certain that this move will cause the desired result, namely lower power bills.