GNE - Genesis Energy

[iceman]

Why do you think the DRP was suspended? Not required anymore to reduce debt?

Ummm, I missed that bit of info. Didn't realise they had suspended the DRP

[macduffy]

The simple answer would be that GNE doesn't need the extra capital that a DRP would provide and no incentive to reduce debt at low interest rates. Nothing mysterious about any of that.

[Bobdn]

Coal and Huntly keeping the lights on tonight. All three Rankine Units whirring away at near capacity. And what's this? Contact is burning barrels of diesel.

Please, please don't tell the children, no need to upset them. There's Netflix to watch, Leafs to charge and the Guardian to read online. What they don't know won't hurt them.

https://www.transpower.co.nz/power-system-live-data

[Cyclical]

Coal and Huntly keeping the lights on tonight. All three Rankine Units whirring away at near capacity. And what's this? Contact is burning barrels of diesel.

Please, please don't tell the children, no need to upset them. There's Netflix to watch, Leafs to charge and the Guardian to read online. What they don't know won't hurt them.

https://www.transpower.co.nz/power-system-live-data

Now, now, we wouldn't want the mainstream press picking this up and running with it now, would we. Why would we want to find more of that filthy gas when we can import this lovely clean coal from Indonesia?

[Davexl]

Now, now, we wouldn't want the mainstream press picking this up and running with it now, would we. Why would we want to find more of that filthy gas when we can import this lovely clean coal from Indonesia?

Precisely why at least the Gas part of the Oil & Gas ban needs to be reversed. Gas used as a 50% lower emissions (than coal) transition fuel...

[Cyclical]

Precisely why at least the Gas part of the Oil & Gas ban needs to be reversed. Gas used as a 50% lower emissions (than coal) transition fuel...

It amuses me that California, which has been playing with hydrogen for decades, consider natural gas as one of the key parts of their clean energy strategy. They use fossil fuels to make most of their hydrogen. Meanwhile, apparently we're on a path to switching our gas infrastructure to delivering all the hydrogen we need, green stuff produced from water presumably, by 2035. Be great if it's true, but the sceptic in me thinks I'm more likely to be drinking a hydrogen infused Tui.

[fish]

Coal and Huntly keeping the lights on tonight. All three Rankine Units whirring away at near capacity. And what's this? Contact is burning barrels of diesel.

Please, please don't tell the children, no need to upset them. There's Netflix to watch, Leafs to charge and the Guardian to read online. What they don't know won't hurt them.

https://www.transpower.co.nz/power-system-live-data

Coal is so dirty .
It needs heavy transportation and emits particulate matter shortening lives on those living where it falls and sulphur which causes acid rain (was a major problem in Europe destroying the environment and forests as sulphuric acid rained down )
Natural gas is clean enough to burn in homes .
We have it reticulated through pipes so no transportation .
It is easily converted for both energy and industrial manufacture .
We have reservoirs storing it for immediate release .
Why has this government decided to destroy this so we have to burn more coal now and well into the future?

[Zaphod]

Coal is so dirty .
It needs heavy transportation and emits particulate matter shortening lives on those living where it falls and sulphur which causes acid rain (was a major problem in Europe destroying the environment and forests as sulphuric acid rained down )
Natural gas is clean enough to burn in homes .
We have it reticulated through pipes so no transportation .
It is easily converted for both energy and industrial manufacture .
We have reservoirs storing it for immediate release .
Why has this government decided to destroy this so we have to burn more coal now and well into the future?

IMO, it was almost certainly a result of virtue signaling, given there was no clear strategy was articulated on how that specific policy assisted in providing a pathway to the goal of a carbon neutral future. The law of unintended consequences has intervened. But never fear, First Gas have announced hydrogen will be delivered through existing pipelines starting in 9 years time (at a level of 1% through to 100% by 2050) once they solve the issue of metal embrittlement, gas escape, lower energy by volume and the thorny issue of generation.

[Cyclical]

IMO, it was almost certainly a result of virtue signaling, given there was no clear strategy was articulated on how that specific policy assisted in providing a pathway to the goal of a carbon neutral future. The law of unintended consequences has intervened. But never fear, First Gas have announced hydrogen will be delivered through existing pipelines starting in 9 years time (at a level of 1% through to 100% by 2050) once they solve the issue of metal embrittlement, gas escape, lower energy by volume and the thorny issue of generation.

Sounds not unlike the tax changes to the residential investment property the other week, which will have it's own unintended consequences no doubt.

Re hydrogen, Stuff article the other week said "Hydrogen will be phased in from 2030, with complete conversion of the gas network to 100 per cent hydrogen from 2035 and beyond." Not entirely sure what they mean by that, but 2050 does sound more realistic. Which means plenty more coal to be burnt for many years to come. It wouldn't surprise me to see the Energy minister to invoke special powers and tell Methanex to get out at some point. I suppose they could kick the can down the road for a few more years and let a future government worry about these things. Meanwhile the gas component of our Genesis energy bill has just gone up massively.

[Zaphod]

Re hydrogen, Stuff article the other week said "Hydrogen will be phased in from 2030, with complete conversion of the gas network to 100 per cent hydrogen from 2035 and beyond." Not entirely sure what they mean by that, but 2050 does sound more realistic. Which means plenty more coal to be burnt for many years to come. It wouldn't surprise me to see the Energy minister to invoke special powers and tell Methanex to get out at some point. I suppose they could kick the can down the road for a few more years and let a future government worry about these things. Meanwhile the gas component of our Genesis energy bill has just gone up massively.

The presentation from First Gas showed a gradual increase of hydrogen being injected into the gas network on an annual basis, supplanting natural gas. This would initially be at a rate of 1% of total gas flow in 2030, and increase to 100% some time between 2035 and their end date of 2050, so that is what Stuff was alluding to. The presentation was full of superlatives and aspirational talk, but little in the way of concreate facts. FirstGas are currently analysing their network readiness for hydrogen, with a trail planned sometime in the next few years, and with no information available on exactly when or how all customer premises equipment will need to be replaced, let alone their own equipment, I can't see the 100% goal being reached by 2035.

Bottled LPG is to be replaced with BioGas, either created in NZ, or most likely, imported.

Methanex have closed one of their plants, but have sufficient contracted gas supplies to last a few years, however producing methanol from hydrogen is likely to be uneconomic given the gas supplies readily available from our neighbour, and only a single competitor that is located in Victoria.