Photo: ODT filesHeavy rain across the country has pushed hydro lakes levels to above average following a dry period but wholesale electricity prices still remain elevated. Wholesale power prices had now fallen by more than half from about $305 per megawatt hour (MWh) to $130 MWh over the same period, although prices still remain well above average. Blincoe questioned why prices were at their current levels, given the recovery in hydro storage, and suspected the generators were withholding water. "Wholesale prices remain above average due to high gas prices and a shortage of gas for thermal electricity generation." The spokesperson said in a healthy market high prices incentivised new generation which was exactly what was happening around the country at the moment.

Source: Otago Daily Times August 06, 2021 18:22 UTC