Volatile power prices show need for more quickfire gas generation, say analysts

Volatile power prices show need for more quickfire gas generation, say analysts
Growing peak demand is forcing Genesis to fire up its Huntly plant to do a job it was not designed for. (Image: Genesis)
Ian Llewellyn
Recent wild fluctuations in wholesale electricity prices highlight the market’s need for more fast-start gas-fired peaking generation or other technology to help reduce extreme price peaks, energy analysts at Forsyth Barr said.Lead analyst Andrew Harvey-Green also said in a note that the first futures prices for 2026 indicated the market believed wholesale electricity prices will remain elevated, showing the need for more new generation.The Electricity Authority recently noted that spot prices were volatile at the start of September. High...

More Energy

What will ministers tell electricity bosses?
Policy Analysis

What will ministers tell electricity bosses?

The urge for electricity market reform is strong, but needs to solve the right problems.

Pattrick Smellie 11 Sep 2025
Watts to challenge gentailers on 2026 'energy security'
Energy

Watts to challenge gentailers on 2026 'energy security'

Minister for Energy Simon Watts spoke at the Climate Change & Business Conference.

Pattrick Smellie 10 Sep 2025
Transpower to spend $1.1b on Cook Strait link upgrade
Infrastructure

Transpower to spend $1.1b on Cook Strait link upgrade

Transpower plans to spend $1.1 billion on upgrading the electricity link between the North and South Islands.The state-owned power grid operator said it had applied to the Commerce Commission for approval to invest in the High Voltage Direct Current (HVDC) link.The proposal inclu...

Staff reporters 09 Sep 2025
Govt seeks list of 20 businesses to get off gas
Energy Exclusive

Govt seeks list of 20 businesses to get off gas

As supply crunch continues, Simon Watts says: 'All options are on the table.'

Dileepa Fonseka 08 Sep 2025