News

Spot market price volatility in May 2023

In May 2023, the electricity spot market experienced extreme price volatility. Spot prices swung between $0.01 and $3,350/MWh. However, despite occasionally hi…

Solar generation now and in the future

There is currently around 270 MW of installed solar generation in New Zealand. This adds up to about the same capacity of a coal or gas fired Rankine generatio…

First instances of reserve scarcity pricing under real-time pricing

The Electricity Authority implemented real-time pricing for the wholesale electricity market in November 2022 in collaboration with Transpower and the wider el…

Southern lakes, the HVDC and thermal powered generation

Electricity demand and generation differ across New Zealand’s two main islands. The South Island has abundant hydro generation, while the North Island contains…

The New Zealand gas market

The Electricity Authority monitors how much gas is being used to generate electricity and how the short run marginal cost of gas is changing each month, with c…

HVDC inter-island cable: Benmore to Haywards

The high-voltage direct current cables (HVDC) electrically link the North and South Islands of New Zealand and are a vital piece of national infrastructure. Th…

The impact of our climate on hydro generation

Over 50% of New Zealand’s electricity is produced by hydro power. New Zealand’s largest hydro schemes, the Waitaki and Manapōuri, are in the South Island. Whil…

New Zealand’s electricity future: generation and future prices

New Zealand’s future is electric. More electricity generation is needed to meet increasing demand and to replace fossil- fuel fired generation. Increasing elec…

The electricity system in December 2019 versus December 2022

December 2022 was the end of an immense year in the electricity sector. A dry summer and autumn, which saw hydro lakes levels plummet over several months, was …

New Zealand's geography and price separation

New Zealand is a long and thin country, filled with mountains, lakes, volcanoes, cities, and vast plains. This geography impacts New Zealand’s electricity sect…

Keeping the lights on with reserves

Why do we need electricity reserves? How does the reserve market impact the electricity market? And what is the future of reserves? Find out in this explainer.…

When do power station outages occur?

Electricity in New Zealand is generated by hydro dams, geothermal and thermal power stations, and wind farms. Some of these power stations were built recently,…