MEL - Meridian Energy

[Snoopy]

The peak charges should NOT be taken out of the charging mechanism This change to TPM is nonsense and designed to preserve the existing generators and stop solar and new technologies. Anybody young should be going off grid if they can. I understand Transmission Pricing.

Will this have any effect on Home Solar?

Unless your home solar generates at peak energy consumption time (unlikely), then you are going to face a higher line's charge in the future. Because the lines company will be losing revenue from your 'solar substitution' but the solar substitution will not be reducing their peak load. So the lines company will have to put up their fixed charges to you, so that they can maintain your local network for 'peak duty'.

SNOOPY

[horus1]

The real answer is that more and more will disconnect from the networks . It is happening overseas . Lines cos should be writing down assets as the networks are becoming normal business's not monopolies.

[Jantar]

…….

So there is a regional arrangement for reimbursing grouped local networks. But if one of those local networks has an embedded power station then that means the owner of that power station is reimbursed. How is that perverse for the other networks in the wider region? Don't all local networks that are part of the regional network benefit, whether they have an embedded power station or not?....

SNOOPY

The issue is that the peak demands cannot be accurately known in advance, but can be estimated, both in timing and quantity, from the SO and the Tesla forecasts. However if one node has a sufficient embedded generation quantity, that can reduce the peak at the expected time, then some other period will be a new peak, and will be at a time that may not be forecastable. Thus other networks may not be able to operated their load controls to coincide with when the new peaks occur, and end up being financially disadvantaged. This often the case in the Southern region where Trustpower has over 80 MW of generation available at Waipori and Deep Stream which feeds into a single node at HWB1101.

[k14]

Interesting decision just released by the EA. Their preliminary decision into the behaviour of Meridian and Contact in Nov/Dec 2019 has found that Meridian did breach the electricity governance rules. Contact did not.

This will have some serious implications if the decision is upheld and potentially result in a fine for Meridian. Will be an interesting opening on the NZX for both companies this morning.

[k14]

Here is the article https://www.stuff.co.nz/business/121...inary-decision

Watch this space...

[RTM]

Here is the article https://www.stuff.co.nz/business/121...inary-decision

Watch this space...

Thanks K14,
Maybe its time for Winston to buy back the power companies so they operate in the best interest of New Zealand Inc.

[Aaron]

I know there was concern re the closure of Tiwai Point but what about NZR. It is apparently one of the top 5 users of electricity. Possibly this has been discussed on another thread. Also NZR closing is not imminent I don't think.

[Joshuatree]

Top 5 user! , wow!. thats very interesting thanks. I wont be hunting for verification.

[Sideshow Bob]

This will have some serious implications if the decision is upheld and potentially result in a fine for Meridian. Will be an interesting opening on the NZX for both companies this morning.

Currently up 1%.....

[k14]

Currently up 1%.....

Yeah go figure, 109 pages of report too big for the market to digest. There will be long term consequences for this but very hard to predict the magnitude.