MEL - Meridian Energy

[xafalcon]

Lithium not so scare and production prices will drop alot.Lithium is being produced @ re $2000 tonne at ORE(evaporation based) but haven't reached nameplate yet. LIT will be producing even cheaper Li from waste rock Micas but still to prove this up in any decent scale.

Production cost and sale price are different. The combination of exponential demand growth and relative rareness of commercial deposits make for the perfect price spiral storm

From Wiki "According to the Handbook of Lithium and Natural Calcium, "Lithium is a comparatively rare element, although it is found in many rocks and some brines, but always in very low concentrations. There are a fairly large number of both lithium mineral and brine deposits but only comparatively few of them are of actual or potential commercial value. Many are very small, others are too low in grade"

http://www.cnbc.com/2014/03/19/ that relates to Tesla's new factory and the effect of lithium supply/demand on the economics

[horus1]

I have 6 kw of solar going in and it is economic.I am going up to 10kw .Installed ourselves. With batteries in the future it will have a better payback. I know others who have solar and batteries and that has very good payback. All you people in the industry have your head in the sand. The costs are dropping fast for all technologies for alternatives to centralised electricity. On a macro scale look at the research funds being applied from the paris conference ,look at fuel cell cars and the affect they have on provision of electricity, .The risks are to high. In 10 years time most remote rural lines will be redundant. NZ has and is following the wrong policies at a macro level.

[mouse]

I have 6 kw of solar going in and it is economic.I am going up to 10kw .Installed ourselves. With batteries in the future it will have a better payback. I know others who have solar and batteries and that has very good payback. All you people in the industry have your head in the sand. The costs are dropping fast for all technologies for alternatives to centralised electricity. On a macro scale look at the research funds being applied from the paris conference ,look at fuel cell cars and the affect they have on provision of electricity, .The risks are to high. In 10 years time most remote rural lines will be redundant. NZ has and is following the wrong policies at a macro level.

Hope you are wrong. But I think you are partly right. Most Country Domestic electricity users may well be breaking even at least with solar power. But town dwellers, with a fairly low line charge, may not break even so easily. I have a solar water heating system which is 25 years old and still performs brilliantly. Thermo-syphon design. Major rural electricity user, such as dairy farms, may hit major cost problems on line charges. But solar may not be an option due to cost.

[IAK]

I'm hoping that my dividends will have more than paid off my electricity shares (all purchased at IPO) before solar/batteries disrupt this industry. It may be similar to Sky TV, despite the advent of Netflix, Neon etc., it still seems to be hanging in there (atm anyways).

[IAK]

The future? Perth now has rooftop solar as the largest supplier of electricity.

"Solar energy set to boom with arrival of cheap battery technology" http://www.abc.net.au/news/2016-01-0...-cheap/7065812

Disc. Holder Melm MRP, GNE & CEN.

[trader_jackson]

Did you see what MRP did today?

They want an entry into "the future"

https://www.nzx.com/companies/MRP/announcements/276528

[xafalcon]

NZ Herald today had a tiny article on Tiwai Pt, saying First NZ Capital had issued a report saying that Rio Tinto were likely to keep the plant open due to improving economics. Does anyone have a copy of that report, and can they post it up for all to read? Clearly very important for the whole NZ generators sector, but since MEL supply the bulk, more relevant in this thread

TIA

[bull....]

looks like meridian were right in there presentation we don't need to worry about solar taking over the world anytime soon - confirmed by the biggest energy company in the world

http://www.nzherald.co.nz/business/n...ectid=11580074

[bull....]

is the best performing stock in this sector , needs to break above 2.40 for more blue sky

[xafalcon]

Interesting article in todays NBR on Tiwai Pt. Opinion suggests that likely electricity transmission cost reduction will push Tiwai into top 25% of Rio Tinto assets and cement a long term future in NZ. The article also suggests that even at current electricity pricing the plant is likely to stay open. Worth reading if you have access to NBR