The growing power crisis
May 29th, 2008 at 7:45 am by David FarrarThe Government has spent all year telling us there is no power problem. The reality has been that our capacity has been dangerously low for some years because it is so difficult to get consents for new power plants.
Now consider the latest step to try and stave off power cuts. Workers in breathing gear and protective suits will have to go in to a mothballed asbestos ridden power plant, to supply us with more power.
This comes on top of the lowest lake levels since the 1992 power crisis, big industrial users cutting production (which negatively impacts economic growth) and massive increases in wholesale power rates which will flow through into household bills according to Meridian.
Yet the Government is still trying to say there is no problem. I mean sure it is normal to send workers in hazard suits and breathing gear in to operate asbestos ridden plants.
Again I would ask people to think about whether now is the right time to ban new thermal power plants. Sure do it, after you have made it easier to get consent for renewable power plants, but it would be incredibly reckless to proceed with such a ban- yet David Parker plans to.
Related posts:
- Power Cuts
- Does it take power cuts for it to be a crisis?
- Grey Power on power prices
- Charles Chauvel on power profits
May 29th, 2008 at 7:47 am
I thought the government’s goal was to transform is into the knowledge economy? The point is to do less with cars and computers, and use our brains more. Who needs all that CO2 emitting electricity when we’re on the stepping stone into a new era?
Vote:May 29th, 2008 at 7:51 am
Interesting – I’ve just seen Gordon Brown on the telly news trying to talk down oil prices over there, and suggesting that it’s time to be looking at alternative energy sources…….like NUCLEAR power!!!
Vote:May 29th, 2008 at 7:55 am
yup berend, well once the lights are out, and all the productive industry has had to leave for third world countries that understand the value of keeping the lights on, all we will have left is our brains.
I do love to see ideologues mugged by reality, and trust me on this, david parker is one of the more ideologically “pure” members of this rather ideological cabinet.
If you spin it right you can probably say that F+P leaving and all the freezing works closing down is good for us, because it means that there will be more power to go around for everyone else – oh hang on, this is exactly the argument used by our pet leftists at the prospect of the Smelter leaving.
subsistance farming is sort of sustainable if you think about it, and the foot powered treadle pump is a wonderful invention…wonder how much treadling is required to power and washdown a cowshed before we bicycle the milk to the local organic milk factory?
Vote:May 29th, 2008 at 8:02 am
In 2003 I returned to NZ after 6 years overseas. After returning, I came close to buying a power generator . The politicians were all crowing that they would fix the generation crisis.
Here we are in 2008, same politicians , and same crisis. Oh for the old days, when we built power generation as required, the old go-to kiwi attitude. Now the country is run by incompetent people. What else do you call 5 years of doing nothing to fix a power generation problem? Windmills don’t cut it I’m afraid.
Parker is an idiot – I wouldn’t trust that clown to look after a boiled egg. he reminds me of chris carter.
Vote:May 29th, 2008 at 8:07 am
I try to use as much power as possible to be honest. know why? Until we have a major black out, nothing is going to be done. 3 Heaters on this morning and I got the dryer going. I’m off to turn some more lights on….
Vote:May 29th, 2008 at 8:20 am
Its not a “crisis” until dear leader tells us it is. We’ve had this before.
I wonder how many oxy machines will stop working when the lights go off in this years non-crisis.
Vote:May 29th, 2008 at 8:24 am
Looks like the socialists want to cull the poor and elderly with power cuts in a freezing winter. These moonbats who are destroying our country are political dimwits of the highest order, because they lack any sensible vision and compassion. Hells bells a country of 4 million, just a suburb of Shanghai and we can’t sort out basic requirements such as energy.
Vote:I hope Helen Klark’s regime is nice and warm in the shit hole beehive, as the struggling people light the candles. What an insane country run by mentally unwell scum.
May 29th, 2008 at 8:29 am
Meanwhile in Wellington an aging sub station fails plunging parliament into darkness for 17 minutes. Emergency generators in parliaments emergency management center fail to start. It’s noted that the govt have been warned for over 8 years that these critical emergency management infrastructure items in parliament are in very poor condition and need substantial maintenance but said maintenance has not done – then we are expected to believe that it’s private companies who are responsible for running down our infrastructure and we need public ownership to see them brought back to first world standard…
Quick sell Wellington’s power network to the Chinese, we need somebody apart from ineffective incompetent govt managers to blame when it all turns sour.
Vote:May 29th, 2008 at 8:33 am
D4J, why would Helen want to kill off her best buddy’s (winnie) constituents? That doesn’t make sense.
Vote:May 29th, 2008 at 8:42 am
Something makes sense with Klak?
Vote:May 29th, 2008 at 8:49 am
http://theyworkforyou.co.nz/portfolios/energy/2008/apr/09/energy_strategy
It’s happening, but not soon enough I spose…
Vote:May 29th, 2008 at 8:49 am
Klak?
Vote:May 29th, 2008 at 8:56 am
Wind has a generation effectiveness of around 35% in NZ. Europe only rates it as 20%. That mean for a vast majority of the time we can not rely on wind generated energy. Methods for developing wind to be 100% effective need to developed before we invest too much on an unreliable energy source.
Vote:May 29th, 2008 at 8:57 am
It is wind power, really, that is driving this country at present.
Vote:May 29th, 2008 at 9:01 am
Is the ‘effectiveness’ the average time that is actually spent generating power? I was under the impression that they put the turbines in frickin’ windy places, which would presumably generate power more than 35% of the time…
Vote:May 29th, 2008 at 9:10 am
Hurren, Hurren Klak.
Vote:May 29th, 2008 at 9:13 am
Rubbish to the new generation. 300 megawatts adittional supply while demand has grown by more than that.
How can david parker guarantee the lights won’t go off? What outrageous statements he makes. Is he god? Does he have the power of the rain dance?
Vote:May 29th, 2008 at 9:27 am
Lets get a nuclear powered ship to act as an offshore power station.
oh wait…
Vote:May 29th, 2008 at 9:28 am
They just bought the last train to Klaksville
Vote:May 29th, 2008 at 9:51 am
Hey infused
Vote:I don’t know if you realise but electric power is not free. To use such quantities ain’t gunna do wonders for the power bill there. Power has gone up 66% in the last few years.
A power professional pointed out to me the 66% in real terms, lots of subtle tricks to not make it look not so much each time.
May 29th, 2008 at 9:51 am
wreck , the lights wont go off because the peak load can be managed. Your hot water cylinder is controlled by the lines company just like everybody elses. This removes 20% of the load . In fact I save $20 pm by only having the hot water cylinder on for 1.5h per day. Thats enough to heat the 1/2 hot water cylinder that is all I use. heat rises so its no problem having top half hotter than the lower half
Vote:May 29th, 2008 at 10:06 am
nOTE THE
Vote:http://www.guardian.co.uk/business/2008/may/28/britishenergygroupbusiness
May 29th, 2008 at 10:16 am
We have a hydro based system and our power is very cheap in global terms. But we are susceptible to nature not playing nicely. The question we have to answer is, do we pay a lot more to build cover for the relatively small risk of having to go short for very brief periods, or do we focus on other cheaper things like manage demand.
Note the UK just had major power cuts when five stations including a nuke went down suddenly
http://www.guardian.co.uk/business/2008/may/28/britishenergygroupbusiness
Japan’s largest nuclear reactor is still out 1 year after its closure following an earthquake.
Vote:May 29th, 2008 at 10:18 am
Note the UK has just had major power cuts due to power stations falling over including a nuke
Japan’s largest nuke is still offline a year after an earthquake caused a leak. They are not a panacea.
We have a hydro system that gives us very cheap reliable power mostly. Sometimes nature doesn;t play nicely. We have to decide whether the costs of over building to cover that very low risk are worth it when the occasional demand restraint might be a lot cheaper, even if that results in a bit of inconvenience.
Vote:May 29th, 2008 at 10:23 am
Ghost
Vote:I hate to point out thermodynamics to you mate.
But hot water will rise only when its hotter than the water ‘above it’ and water is a very good conductor of heat (especially with a ‘massive’ heat load such as an HWC tank). In other words the bottom of the HWC must heat up to the same temperature as the top before it will rise.
The upper half can be hotter than the bottom only after the whole tank has been heated, then cold water can enter in the bottom as hot water is drawn off and maintain the layering.
Thats kinda what I do for a profession.
May 29th, 2008 at 10:27 am
We have a wetback in our fireplace so can turn water heater off most of the winter but not sure how long this will last. I see the fuckwits in lefty dorkland are talking about outlawing open fires in houses, such is the fervour to save the planet. Better the people freeze then produce those nasty gases. I wonder how long it will be before we are infested with these idiots in the country. God this country is going to the dogs.
Vote:May 29th, 2008 at 10:29 am
More Orwellian stuff from our government. The frightening thing is, how the EFF have the sheeple of NZ actually VOTED THIS MOB into power THREE EFFING TIMES NOW?
Vote:May 29th, 2008 at 10:42 am
side show bob
In a heavily built up metropolis like ‘Dorkland’ open fires create smog. Particulates and un burnt shit that kills people. It’s that simple.
‘ I smoked cigarettes all my life and it didn’t do me any harm’ type logic doesn’t cut it either when justifying open fires in heavily populated areas
Less built up areas I have no problem with.
Oh and for the smart arses who don’t know shit from clay… a metropolis is paralysed in a power cut. ‘Down on the farm’ I am sure they make do with no power for days at a time and don’t moan about it BUT really.. a big city is different.
Vote:May 29th, 2008 at 10:44 am
GWW: I guess you don’t have a teenage daughter then. But nice for you.
Vote:May 29th, 2008 at 10:47 am
“Lets get a nuclear powered ship to act as an offshore power station.
oh wait…”
Yeah – we didn’t see the Indonesians complaining when the US parked a nuke carrier up alongside the wharf and supplied power until they could get their grid back on line after the 04 Tsunami.
Vote:May 29th, 2008 at 10:52 am
No no… we’re going to generate all this extra power by attaching 2nd hand, RMA-blocked wind turbines to our rusty railway carriages and then towing them to where the wind is, plugging ‘em into the national grid and presto!
Vote:May 29th, 2008 at 11:00 am
A little undersea power cable from Tonga and get the Chinese to plug one of theirs in… as they’ll be in the vicinity.
Context:
Vote:May 29th, 2008 at 11:07 am
I remember a story on … what was it … Target? Anyway, this chap did not have an electric hot water cylinder, he was using gas for heating. Because of that he did not have a managed hot water cylinder. (You can’t turn off the power to it
) But for his regular electricity use they insisted on charging him the higher rate, which added a substantial amount to his costs, because he was not using a hot water cylinder that could be turned off in peak load times.
I couldn’t help but laugh during that. It shows what a comedy this whole thing has become. From the politicians and activists blocking all attempts at fixing this sorry mess to the power companies and the general ineptitude that surrounds the industry.
We’re a first world nation soon to be living in darkness.
Vote:May 29th, 2008 at 11:09 am
ghostwhowalks3
So do you wonder why people want gas water heating rather than rationed electric water heating ?
Is there no depths you won’t sink to defending this incompetent govt? The govt has been slamming private companies for letting our essential infrastructure run down while at the same time they couldn’t even keep up the maintenance on the generators for the emergency management bunker under parliament…
Forcing people to have luke warm or cold showers is one way to avoid the costs of additional power infrastructure, and with muppets like you happily accepting that it’s now wonder we are slipping down the OECD ladder.
Vote:May 29th, 2008 at 11:22 am
Pascal
I thought that Target episode was unfair on the power company.
The show merrily mocked the silly old power company for not being able to tell the difference between no ripple control and another form of heating.
How the heck could they tell? It’s impossible without something like a smart meter (computerised meter). From the power companies point of view the resident doesn’t want hard wired ripple control. So how can they tell if the resident hasn’t hard wire the HWC to the standard mains?, they can’t without regular Gestapo like inspections.. and that would go down like a shit sandwich.
The 20% is a DISCOUNT for allowing a hard wired interruptible HWC power supply.
I have seen Target pull this sort of shit on a few occasions now.
Vote:May 29th, 2008 at 11:56 am
Well we could be like that third world country Britain where seven power stations fell over, including nuke Sizewell B, within hours of each other leaving 500k without power. Note that this was in a low demand period.
Pascal
Target is a beat up. This complaint is like saying it’s unfair you didn’t get a petrol discount voucher at the supermarket when you didn’t buy the requisite value in groceries. You are getting a discount for giving the power company information and control over your load at vital times. No control, no discount.
Vote:May 29th, 2008 at 12:25 pm
I for one welcome our new benign strategic environment!
Vote:May 29th, 2008 at 1:14 pm
You would need to plug a very powerful visiting nuclear ship into the grid to get any significant useable power.
The biggest container ship in the world makes about 109,000 horsepower flat-out which is 81 MW (at 1hp=0.7457kW) – not a lot of power compared to (say) Maraetai which makes 360MW or Huntly which makes 960MW I believe.
Apparently the American Nimitz aircraft carriers make 194MW (which is about 260,000 horsepower) – a bit more like it, but still small beer compared to a proper power station…
References:
Vote:Container ship: http://en.wikipedia.org/wiki/Emma_Maersk
Aircraft carrier: http://en.wikipedia.org/wiki/Wikipedia:Reference_Desk_archive_4
May 29th, 2008 at 2:51 pm
The socialists already have the answer, keep putting the price up and usage will decline – then we can claim we have sufficient infrastructure and sell all the unmaintained infrastructure to the Chinese.
When the power goes off completely – it’s their fault !
Vote:May 29th, 2008 at 3:14 pm
These Enron-style tactics to keep power prices high is all a predictable result of National’s electricity ‘reforms’ of the 1990s. Under the privatised, fragmented system run inefficiently by accountants, there is no incentive to keep prices low, only the opposite. Hence the shortfall in generation.
If you have a natural monopoly, you need to be regulated. The government is not to blame for the lack of rain, but they are for continuing to force a ridiculous “free market” in what is a monopoly industry.
As someone said, a suburb of shanghai manages it’s power better than NZ.
Vote:May 29th, 2008 at 3:31 pm
insider: You are getting a discount for giving the power company information and control over your load at vital times. No control, no discount.
For giving them control over your hot water cylinder. He was using gas, not mains power. Now I see Lance’s point of control and verification; but what was he supposed to do? He had chosen a mechanism that would reduce his load consistently and constantly – and yet he could not gain the same discount benefit as someone who has a controlled system?
Vote:May 29th, 2008 at 3:39 pm
“These Enron-style tactics to keep power prices high is all a predictable result of National’s electricity ‘reforms’ of the 1990s.”
You dont know what you are talking about. It was the partial deregulation along with strict price controls that made power generation unprofitable and even forced the bankruptcy of utility companies. The price controls led to a shortage. (Which is what people should realise now after a couple of hundred years worth of evidence!)
oh and is it a fragmented system or a monopoly?
“there is no incentive to keep prices low, only the opposite. Hence the shortfall in generation.”
Good on you for not being ashamed of your spectacular stupidity.
“The government is not to blame for the lack of rain, but they are for continuing to…” impede the growth of NZ power generation. Or maybe good on them for knowing there can be seasonal problems with power supply and not doing enough to address it.
Vote:May 29th, 2008 at 3:41 pm
uk_kiwi, i could imagine low prices leading to underinvestment in new generating capacity. but if we have high prices and insufficient investment then (a) who’s benefiting and (b) who has the power to correct the imbalance. If think you’ll find the answer to both questions is the government. And in this case it’s the Labour government who have had 9 years of electricity dividends (essentially more of my money paid to them as a tax) and not addressed the rather important matter of continued supply
Vote:May 29th, 2008 at 4:28 pm
“It was the partial deregulation along with strict price controls that made power generation unprofitable … The price controls led to a shortage.”
Yet when power (a natural monopoly) was controlled by government department it was ridiculously cheap, so cheap that NZers didn’t bother to insulate their houses. Things got planned, new generation got built before there were shortages, and the industry didn’t lurch from crisis to crisis as it does now (whilst conveniently making massive profits along the way).
Enron was a result of too little regulation in both the electricity supply and financial sectors, and that’s fact.
“(a) who’s benefiting and (b) who has the power to correct the imbalance.”
The power companies making excess profits in both cases must take most of the blame
Vote:May 29th, 2008 at 4:35 pm
uk_kiwi
So who owns the generation companies – lets protest against their profit taking, they are clearly immoral unethicle organisations who have been corrupted by profit and have no concern for the people of NZ.
Shut them down…. who are they again?
Vote:May 29th, 2008 at 4:44 pm
No offense, uk_kiwi, but please stay there. You don’t seem to know squat about NZ’s past (“cheap” power and new generation was subsidised/funded through taxes or debt, so we still paid, it just wasn’t direct or transparent) or care for facts about NZ’s present (the government is vacuuming up the “massive” and “excess” profits from power SOEs for middle-class welfare and vote-buying like Working For Families). The fact is NZ is blessed with rivers, geothermal, coal and nautral gas and there is NO reason why NZ should face power shortages.
Vote:May 29th, 2008 at 5:05 pm
Kimble
Very few countries in the OECD have the split between residential prices and industrial prices that we do. In the USA they’re roughly comparable, where as here and France (and perhaps one other country) residential consumers pay over twice as much per kWh as industry.
The electricity commission has sighted problems with the vertical integration in many spot markets providing potential for profit gouging.
Do you know anything about these things, or are you just spouting market mantra as usual?
Vote:May 29th, 2008 at 5:32 pm
Nome, what does any of that have to do with Enron?
And you are one to accuse someone of spouting mantra. At least I am not the one mixing up my dog whistles. You could have gone with either PRICE-gouging or PROFITeering but not both.
“Yet when power (a natural monopoly) was controlled by government department it was ridiculously cheap, so cheap that NZers didn’t bother to insulate their houses.”
So it led to inefficient use of electricity, which as we all know, leads to global warming? Awesome.
Was it cheap to buy or cheap to make? There is an important difference between the two but I dont expect you to see it.
“Enron was a result of too little regulation in both the electricity supply and financial sectors, and that’s fact.”
What? Just because you say it is? Financial oversight was lacking for Enron, but there is little chance you can convince anyone other than your ideologically-blinded brethren that price controls indicate too little regulation.
You and Nome need to show how NZ companies are using Enron-style tactics (your words) to keep power prices high. Show us how they are draining the lakes or forcing blackouts to drive the prices up.
Like I said, you dont know what you are talking about.
Vote:May 29th, 2008 at 6:16 pm
Oh I should also ask, if residential customers are paying twice as much as industry, then does that mean they are currently paying around 60 cents pmwh?
Or is it closer to 20 cents?
Vote:May 29th, 2008 at 6:42 pm
Can someone explain to me why you cannot pump additional water into geothermal areas and produce sufficient geothermal power (like Wairaki).
I don’t understand what (apart from RMA and IWI) prevents a natural resource like geothermal activity from producing huge amounts of power, as we seem to have in this in abundance? it seems such a no brainer but I’m sure there is a better reason than those two?
Vote:explanation please someone?
May 29th, 2008 at 7:55 pm
Will power cuts and cold showers see Labour drop 5% points in the polls? Good – Some old dear in Labour stronghold of Porirua or Palmerston North will finally realise that we have an incompetant Government and for the first time in 40 years start voting National.
The reason why Labour have been in denial is because they have been praying for rain because they know they have fucked up on generation. They cannot blame National (as much as they will try) because they have supposedly been in charge (actually the Greenies have called the shots on this one) for nine long years.
So righties – do you bit for NZ – Turn on those heaters, turn on your 50inch plasma, install spotlights, and have long hot showers because by doing so you are screwing down the coffin lid well and truely on this corrput inept government.
Vote:May 29th, 2008 at 9:18 pm
Patrick, you pump the water in, after a while you get localised cooling and don’t get power any more. You can pump it in and drain it out far enough away to avoid the localised cooling, but you are limited by the rate at which the water seeps through the ground – so you need more wells to pump it down. Wells cost money and need consents. And there is risk of impacting the surrounding geothermal area. And the technology isn’t proven. And NZ doesn’t exactly have an attractive investment climate for things like this.
Might as well ask why France has cheaper power than us and is running 90% nuclear. Cause that technology is known and proven – and that’s the reactors built 30 years ago. The newer ones are even better.
Vote:May 29th, 2008 at 9:37 pm
Thanks PaulL. I understand though localised cooling can take between decades and hundreds of years (depending on flow as you say.)
Vote:I saw a demo plant from Iceland at a conference in Germany that does this. I’m just surprised as this is recognised as one of the most environmentally friendly power sources and thought there was some isolated problem in NZ? (i suupose there is with RAM)
Sounds like it needs more investigation?
(Its always the problem when someone like No Personality Parker is in charge of keeping the public informed)
May 29th, 2008 at 9:42 pm
Yeah, but all those wells cost money. If it takes 10 years and they’re useless, what does your payback look like? It is a risky technology, and probably has as much environmental impact as a dam does. And dams are pretty much known quantities. We will get them one day, but just not right now.
Interestingly, George W Bush, evil destroyer of the world and raper of the environment, has one of those heat pump / well things in his Texas house. It pumps the water down (not to geothermal depths) and gets it back at basically 18 degrees C all year round. Instead of running your air con against the outside air (trying to extract heat from 0 deg C in winter, trying to extract cold from 35 deg C in summer), you can run your air con against the water from the ground. Apparently saves heaps of power. Al Gore, of course, has no such thing, because he cares enough about the environment to fly all around the world talking about it.
Vote:May 29th, 2008 at 9:50 pm
They say the heat comes back after time if you over cool it?. I was actually told that Wairaki was not full on because of whakerewewa, apparently it stopped the show?
Vote:yeah, certainly agree on hydro but again RMA?
May 30th, 2008 at 5:01 am
Rrrrrrr……ip.
What was that I hear? The sound of the proposed ETS legislation being torn up.
It was always laughable that Huntley power station was going to be closed down because of the AGW swindle. It’s the largest power station in the country. Where is the lost generation capacity going to be sourced from to replace it? Never mind the relentless growth in demand for electricity.
If voters want to continue sliding down the OECD economic ladder with a corresponding drop in their standard of living then that’s up to them. For the last nine years that is exactly what they chose to do.
Vote:May 30th, 2008 at 5:34 am
OECD – the Whirinaki DIESEL TURBINE power station that was meant to ‘load balance’ low hydro power generation (or No-Huntly) has been running full tilt for some time.
Can you spell N.U.C.L.E.A.R …..
Vote:May 30th, 2008 at 5:07 pm
Watch Prime at 8.30 pm Sunday for The Great Global Warming Swindle. The beginning of the end of the scam?
Vote:June 2nd, 2008 at 10:47 am
Great doco Jackbill. Did you watch the Prime TV Eric Young chaired debate that followed it? 3x scientists, Leighton Smith and a Greenpeace activist.
The interjections of the 2 IPCC scientists completely endorsed every allegation that head been made about them, to undermine and belittle anyone with an opposing view.
These guys are protecting a billion dollar pointy head industry – this will make Y2K look credible.
Global Warming or Global Governance?
-http://video.google.com/videoplay?docid=4860344067427439443&q=The+Great+Global+Warming+Swindle&ei=2hxDSJrDKpCKqgPW3dz_CA&hl=en
Vote:June 2nd, 2008 at 12:17 pm
“You and Nome need to show how NZ companies are using Enron-style tactics (your words) to keep power prices high. Show us how they are draining the lakes or forcing blackouts to drive the prices up.”
How about the closure of the New Plymouth power station? Two weeks ago, it was broken down, too dangerous, will never restart, etc. Suddenly, they can have it up and running almost tomorrow (after the govt stepped in no doubt).
That’s a blatant Enron-style tactic of creating artificial shortages. Great for the bottom line, terrible for NZ. But with the industry run by accountants trained in the Chicago school to maximise profit and screw everyone over, we shouldn’t expect anything else.
Read and weep.
http://www.stuff.co.nz/4568194a13.html
“I think they ran the numbers and figured taking it out of the system would tighten the market,” he said, indicating that the lost output from New Plymouth would be more than offset by cost savings and higher prices for its other generation plants Clyde and Roxburgh hydro, Taupo geothermal, and gas-fired plants in Taranaki and Auckland.”
also
http://www.stuff.co.nz/4563518a13.html
Vote:June 2nd, 2008 at 2:09 pm
“How about the closure of the New Plymouth power station? Two weeks ago, it was broken down, too dangerous, will never restart, etc. Suddenly, they can have it up and running almost tomorrow (after the govt stepped in no doubt).”
Who said it was broken down and would never restart? You are making that up. You arent allowed to invent your own facts to make your case. Why should anyone take you seriously when you do that?
They closed it because of asbestos, but they could have closed it because it was inefficient. It would have cost more to clean the plant up than they would make from it. It is basic economics. The people working in it are going to have to be paid hazard-pay and wear protective gear during their entire shift. Higher prices means that it is probably economic to open it again, which is what they are doing. If prices crumble and appear as if they will stay that way, they will more than likely close the place again.
You are on shakey ground when you rely on an unnamed, but rest-assured, high placed, anonymous source. He even said that he THINKS they did it for those reasons, he isnt saying he KNOWS. He obviously isnt a well placed insider.
“I think they probably made a big deal of the asbestos side of things early on. New Plymouth was always a problem it was a high-cost plant to run and very inefficient.”
And there he proves my point. It was inefficient. If it was cheaper to run, it would have stayed open. Case closed.
“Read and weep.”
You so desperately want the story to be true, you werent in any way critical when you read it. Sorry, but if that is the best you have then you lose.
Vote:June 2nd, 2008 at 4:13 pm
I suppose you think it’s just an amazing co-incidence that it happens at the start of winter, during a power shortfall? From the other article:
“A fortnight ago a Contact spokesman said it was impossible to restart the New Plymouth station. That changed a week ago during work at the plant, according to Contact.
Ms Melhuish said she would “guess” Contact decided to restart the plant after political pressure.
Keeping the plant out of action deliberately – which would effectively be “gaming” to keep power prices high – would not be illegal, she said.”
That’s code right there- not illegal means that they are doing it. In fact they will do whatever the f*ck they like to increase the enormous profits for the offshore owners- including *creating* a crisis by closing power stations at periods of high demand.
This sh!t must stop, these guys need to be regulated and HARD.
Vote:June 2nd, 2008 at 6:24 pm
“I suppose you think it’s just an amazing co-incidence that it happens at the start of winter, during a power shortfall?”
No I dont think it is a coincidence. But only because once again you are completely wrong. They shut it down in September last year, and changed its status to decommissioned in December. Neither were at the start of winter.
The only thing they have done at the start of winter is to switch on an old power station to increase supply of power.
“Keeping the plant out of action deliberately would not be illegal, she said.”
There, I removed the authors bias. If asked a question, “Wouldn’t keeping it offline be illegal?” Ms Melhuish probably would answer “no”.
Does she think this is what they did? THIS IS AN IMPORTANT QUESTION!!!
Either she wasnt asked it or the reporter isnt reporting her answer.
Why dont they keep it off line? Make more money?
If you are insisting that they switched it off to increase the price, then why would they ever switch it back on?
“In fact they will do whatever the f*ck they like to increase the enormous profits for the offshore owners”
I think you would be surprised at the level of profits made. If the plant is only cost effective to run when prices are this high, it means their profits arent going to be huge. Their revenue will increase, but their profit wont increase by as much.
“- including *creating* a crisis by closing power stations at periods of high demand.”
So they created this crisis by taking an inefficient plant offline, and then switching it back on? Even if the plant was on this entire time, the wholesale price of energy would be where it will be when the station kicks in. You seem to be missing this simple point: they are switching the station back on.
How many other stations have they closed? Have they deliberatly drained the lakes which is what will most likely lead to power shortages? Why are they calling for a public power saving campaign? How do they make money by asking people to use less of their product?
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