'A win-win': New rooftop solar technology could boost household earnings
New smart inverter trials in Aust. Similar should be happening in NZ, like it or not...
https://www.smh.com.au/politics/fede...01-p5614k.html
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'A win-win': New rooftop solar technology could boost household earnings
New smart inverter trials in Aust. Similar should be happening in NZ, like it or not...
https://www.smh.com.au/politics/fede...01-p5614k.html
Can not find the TPW thread. Is anyone here having trouble placing orders with TPW. Have amended order 3 times in half hour and it is still sitting there nothing happen. ASB said they having problems.:t_down:
power stocks on fire again mel , mcy leading the charge.
get your income why you can lol probably not so enthusiastic about shouting from the roof about it anymore but will continue to ride the trend
What have I missed? The power shares all gone crazy today, even NWF
last 3 mths returns
mel 91%
tlt 74%
cen 50%
mcy 39%
gne 27%
tpw 19%
mel wins the race by a country mile followed by tlt and mcy a few lenghts back , needing binoculars to see the laggards tpw and gne somwhere in the dust
Are they fully valued MR S? Simply sky high like house prices.
Well MR S what wrong with this little high div yield stock. Its not as if the gods arnt up there! No or low growth?
NZ Windfarms seems a well run company for what it is. Personally I like to invest in the 'big market players', one of the top three in their chosen market. If you are a 'big market player' your future in five to ten years time is more secure as you are less likely to be 'pushed around' or 'held to ransom' on price.
I think any threat to NZ Windfarms will likely come from the mismatch of generation capacity to (retail) customers. Wholesale pricing of power can be stretched -both ways. NWF don't have any retail customers. I am not sure that large companies (big five gentailers) really worry that much about minnows like NWF. But I think it is possible that natural movements in the market that the big boys take in their stride could make things very difficult for minnows like NWF. The ultimate threat to NWF IMO will come because of market collateral damage, not a targeted minnow attack.
Some of these risks can be unwound by writing contracts into the power futures market. But IMO it will never be as easy for the likes of 'NZ Windfarms' compared to a vertically integrated Gentailer. Yet that doesn't mean I would be putting money into a gentailer today. Value is the ultimate investment driver for me. A good company, overvalued, can make a poor investment. I do see overvaluation in the gentailers.
SNOOPY
Smelter to stay open to Dec 2024..https://www.nzx.com/announcements/366175
This is a huge bombshell - anybody and everybody thought Tiwai was here to stay permanently and all the power co's rallied to ridiculously record high levels... almost despicable CEN and MEL are trying to spin this as good news.
Always just a matter of when not if it closed.
Hopefully agreement has been on commercial terms (sure it would have been, I think.....) and not done to fill an election promise??
Election 2020: Labour promises to keep Tiwai smelter open longer | Stuff.co.nz
It is almost certainly not going to stay open past that date - the next 4 years will probably be a process of gradual wind down and jobs will be gradually lost instead of almost all immediately lost later this year - so it wasn't a worst case 'hard' exit [very bad news] scenario, rather, just bad news for the power sector being confirmed - and it both CEN and MEL have had to reduce their pricing to be able to secure these last 4 years. Probably about as best outcome as the south could want, but overall certainly not a good outcome for the power sector in general.
As with all these deals, the devil will be in the detail, which we just don't know yet. Meridian made a pretty generous offer on energy charges (a combined multi-year $250m discount) last year that was rejected. The bit of the bill that Meridian could not control was the line charges. We have to assume that Transpower has come to the party on these. But to what extent? Whether Meridian has had to bite further into their own profit margins further is unknown.
I disagree with your assessment TJ. I don't think you can gradually wind down a potline. You either operate it or you don't. So I see employment stabilised at today's levels right through until 2024. The four year timetable to closure is useful, because it gives time for Transpower to upgrade their transmission lines to get all that stranded power further north if needed. It also gives time for a hydrogen fuel plant to be built if that indeed is seen as an alternative industry that could take over from Tiwai.
The best outcome for the power industry, and for the planet globally would be for Tiwai top continue indefinitely. But no private business could give that assurance. Thus taking everything into account I think today's announcement is about the best that could be expected under current circumstances. But how will this affect the share price trajectories of the gentailers?
SNOOPY
I actually agree with what everything you've said - but with the power co's at such lofty valuations, combined with chat on here about how Tiwai can't shut because of its green credentials, one would have thought today's announcement (a certain step closer to closure) would have reminded the sector that Tiwai's operation, and fairly large contributions to the NZ economy (and power demand!), is far from a sure thing, and therefore today's announcement would been bad news (but not very bad news)... if any other business was one step closer to losing their biggest customer in a few years time with no clear path on what would be an alternative, it would no doubt send a shiver down that business's spine... hence it is somewhat gobsmacking to see MEL up on the open!