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Speaker 1: The government's having to stump up two hundred million dollars

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Speaker 1: to retain its majority shareholding in Genesis after the gen

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Speaker 1: Taylor announced to Capital Rais today the chief executive, Malcolm

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Speaker 1: John's is with us now home Malcolm.

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Speaker 2: Good evening, How are you well?

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Speaker 1: Thank you? What are you planning to do with the money?

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Speaker 2: We're going to build some solar farms, some grid scale

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Speaker 2: batteries and some wind and extend the life of the

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Speaker 2: Antley rankins.

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Speaker 1: And what does it speed up your ability to do it?

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Speaker 2: It does absolutely. What would have taken us ten to

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Speaker 2: fifteen years will probably take us more like six or seven.

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Speaker 1: Now, ye reasonable lifting your earnings? Now is that down

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Speaker 1: to cheap hydro unless coal burns in the last half.

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Speaker 2: Year, It's down to a couple of things. Obviously we

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Speaker 2: started the half year with record low hydro and snowfall

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Speaker 2: in spring was very beneficial to correcting that. But equally

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Speaker 2: we were able to support industrial gas users by selling

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Speaker 2: gas out to industrials as well.

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Speaker 1: Yeah, what's next year looking like? Or is it too

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Speaker 1: early to say?

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Speaker 2: When you yell, it moves from whek to dry within

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Speaker 2: about a six week period, So the next six weeks

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Speaker 2: looks really good and if it keeps rating then it

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Speaker 2: will keep rolling forward. But you know, we have a

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Speaker 2: pretty healthy coal stockpile now and the gas storage facilities

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Speaker 2: are fairly well stopped. So with the lakes fall and

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Speaker 2: those reserve fuels in place, we're in good shape.

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Speaker 1: Simon Watts's office has been in touch with this show

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Speaker 1: and still trying to convince us that the ALNG deal

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Speaker 1: is a good idea, and has pointed out that the

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Speaker 1: wholesale prices for electricity have come back for the calendar

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Speaker 1: year of twenty eight twenty nine.

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Speaker 2: Is that right they have? Yes?

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Speaker 1: By how much?

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Speaker 2: From memory? It's about fifteen dollars?

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Speaker 1: I think is that significant?

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Speaker 2: It is in the context of where we've been. There's

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Speaker 2: no question that the system or the trading system is

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Speaker 2: seen more risk in the future than otherwise. So as

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Speaker 2: we bring in different fuel options, more coal in the

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Speaker 2: stockpile and more renewable generation into the mix, that risk

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Speaker 2: starts to come out of the forward view of pricing.

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Speaker 1: Yeah, and that fifteen dollars is that directly related to

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Speaker 1: the ALNG deal.

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Speaker 2: I can't directly relate it to any deal. I mean,

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Speaker 2: there's a lot of generation that's being built at the moment.

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Speaker 2: But the more reserved fuel resilience you have, the more

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Speaker 2: certainty there is and being able to generate electricity in

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Speaker 2: the future, and the lower that risk premium is.

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Speaker 1: So Malcolm, we can't are you saying to me, we

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Speaker 1: can't say that the fifteen dollars as a result to

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Speaker 1: of the LNG as opposed to every other thing that

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Speaker 1: you guys are all building at the moment.

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Speaker 2: I don't think there's a single lever or a single

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Speaker 2: silver billet. I think everything matters.

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Speaker 1: Okay, Malcolm, what's happening with the power prices later this year?

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Speaker 2: At the moment, they're looking fairly stable. Like I said,

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Speaker 2: with full lakes and good reserve fuels, there's not much

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Speaker 2: risk premium in the forward curve. But as I said,

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Speaker 2: New Yelling can move from wehet to dry conditions in

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Speaker 2: about a six week period, and when that happens, you'll

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Speaker 2: get tension in the market.

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Speaker 1: I was meaning, are you guys putting power prices up?

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Speaker 2: Oh? No, we don't have any plans in the immediate

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Speaker 2: future to do that.

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Speaker 1: Malcolm, Thanks very much. Is always really appreciate talking to you.

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Speaker 1: Malcolm John's Genesis chief executive.

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Speaker 2: For more from Hither Duplessy Allen Drive. Listen live to

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