Power shares

[bull....]

5 years. Pretty short investment time frame really for those who are thinking to use the Power Companies as a bond proxy.

think your not taking into account that in that time frame most of the excess power from the closure of smelter would have been soaked up. meridian in there analyst presentation alluded to this

[sb9]

5 years. Pretty short investment time frame really for those who are thinking to use the Power Companies as a bond proxy.

Just the usual culprits that come out with election campaign brides to get into power, they were saying exactly the opposite few months back and change tune now....

[bull....]

heres a summary of why keeping the smelter open now makes sense

The economics of closure within 12 months would have been awful in the middle of the worst recession in living memory – a loss which would have included over 2600 highly paid jobs, large amounts of tax and GST income, and more than $1 billion per year of aluminium export receipts

https://www.stuff.co.nz/business/300119168/why-ardern-thinks-keeping-tiwai-open-pays-off

[dibble]

I'm remaining dubious of a successful deal between a newly elected Labour govt and the smelter operators.

Perhaps but at least the whole episode has given us a window into what a post-Tiwai world might look like. I would say probably not as ruinous as one's first reaction might have been. So if you put a bond-like (say 7 yrs) duration on these stocks, Tiwai coming or going, they are still appealing (without forgetting other risks like regulatory ...and any kind of disruptive substitution etc)

[Beagle]

https://www.stuff.co.nz/business/300...-open-pays-off Thanks Bull me ol mate. I've converted that into a link that works.

Very good article. I have always thought Transpower wanting $60m a year for transmission lines charges was absurdly high.

[Motley Crew]

Just the usual culprits that come out with election campaign brides to get into power, they were saying exactly the opposite few months back and change tune now....

Campaign brides ? Blond proxies ? Where is this surplus of single women coming from that they are able to be offered up at erection time ? Oops !

[sb9]

Campaign brides ? Blond proxies ? Where is this surplus of single women coming from that they are able to be offered up at erection time ? Oops !

Haha, was meant to be bribes

[Motley Crew]

What a joke
1. Labour could have and should have done this while already in government. No need to wait for next election
2. If Tiwai get reduced Transmission costs then other consumers have to pick up this cost. There is no other option

Jacinda has had her honeymoon. What happens to all the other campaign brides when the lights go out ? Maybe we all get what they're getting !

[bull....]

Meridian chairman Mark Verbiest said pumped hydro

Public investment in pumped hydro could lead to an uneconomic generation overbuild, crowd out private investment and push up electricity prices –slowing down the electrification of the economy

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12369507

[Jantar]

Meridian chairman Mark Verbiest said pumped hydro

Public investment in pumped hydro could lead to an uneconomic generation overbuild, crowd out private investment and push up electricity prices –slowing down the electrification of the economy

https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12369507

Yet Toby Stevenson said in his report to MBIE that it would perturb the market by capping prices.