Wholesale electricity prices decline in June
Average wholesale electricity prices continued to fall during June as a result of the improving hydrological situation,
the Target 10% savings campaign and mild air temperatures (June was 2°C warmer than average, source: NIWA).
The average half-hour wholesale electricity price for the South Island reference point, Benmore, was 6.34 c/kWh in
June, down from 12.64 c/kWh the previous month. Haywards, the North Island reference point, recorded an average price of
6.56 c/kWh, a decrease from 12.76 c/kWh in May. Otahuhu, an indicator of upper North Island prices, also decreased from
12.25 c/kWh in May to 6.68 c/kWh in June.
The effects of the Target 10% campaign were noticeable during June, with savings peaking at 10.3% on 6 June. The daily
average demand was 99.23 GWh, compared to 104.16 GWh in June 2002 and 95.48 GWh in May 2003.
Hydro lake storage levels improved significantly during the month. On 1 June total storage was 2443 GWh (83% of
average). By 30 June, as a result of total inflows that were 125% of average for the month, storage was 2941 GWh (103%
of average).
The higher storage levels resulted in an increase in output from hydro generators, up from 39% of generation in May to
43% in June.