THROUGHMASSMARKET PRICINGANDC&IRENEWALS
Marketsummary
EFFECTIVEPORTFOLIO MANAGEMENTDELIVERING VOLUMEATHIGHPRICES
CONNECTION GROWTHIN TELCO PRODUCTS
13,000NEWTELCOAND MOBILECONNECTIONS
Lowernationalinflowsduringthequarterresultedinhigherspotelectricitypricesaveraging$195/MWh inAuckland.Forwardpricesremainedhighaveraging$180/MWhinAucklandforfinancialyears2024to 2026asat31March2024.Forwardpriceescalationreflectsincreasedgassupplyuncertainty.
AboveaverageWaikatoinflowsandincreasedportfoliodiversityseesstronggenerationoutput 64thpercentileinflowsintheWaikatocatchmentoverthequartersaw1006GWhofhydrogeneration (214GWh,18%lowerthanPCP).Thiswassupportedby664GWhofgeothermalgeneration(68GWh,10% higherthanPCP)and517GWhofwindgeneration(196GWh,61%higherthanPCP).Despite44thpercentile inflowsintheWaikatocatchmentduringMarch,effectiveportfoliomanagementactivityacrossthequarter enabledahighstartingstoragelevelforQ4FY24.Weareforecastingaveragehydrologyconditionsforthe remainderoftheyearand4,067GWhofhydrogenerationforthefullyear.
StrongyieldsinbothC&IandMassMarket
Commercial&Industrialyields(physicalandend-userCDs)remainedstrong,increasingby$7/MWh(6%)to $126/MWhversusthePCP,andreflectingrepricingofcontractrenewalsintothehighelectricityforward curve.MassMarketyieldsalsosawstronggrowth,up$9/MWh(6%)vsPCP,duetotheimpactofprice changesandreducedacquisitionandretentionactivity.
NationaldemandhigherfromincreasedSouthIslandirrigationdemand
Nationaldemandwas4.6%higherforthequarterrelativetoPCP,withnormaliseddemandincreasing 3.5%,adjustingfor2024beingaleapyear.HigherdemandwasalargelyresultofincreasedSouthIsland irrigationdemandandPCPnegativelyimpactedbyflooding.
