I knew I recognised your user name (maybe the fact you mentioned NZ first triggered something in my mind). Quite off topic, but you may be able to answer this: do you have any idea whether shutting down Tiwai Point would indeed affect NZ electricity prices significantly? It's kind of moot now (ugh), but I'm curious.
It would release demand (15% of total) back to the market, so yes it would. It would also reduce our CO2 emissions, lose jobs from an area that needs them and reduce GDP from exporting that Aluminium and increase profits for the newly sold-down electricity companies. And so on. It's all quite complex but a good analysis should show the net gain or loss. But my take is that the plant can be a lot more efficient.
That's exactly what I had expected. I had a suspicion that Manapouri may not have been adequately connected to the grid for sufficient power distribution in the very short term; but even more so, I thought National's assertion that closing down Tiwai wouldn't affect power prices was quite likely disingenuous.
It is quite a complex issue, yes. Looks like treasury was fairly firmly against subsidising the smelter from an economic standpoint. Of course there are social issues, too.
More efficient how? Power consumption? Or just better margins? If power consumption; presumedly not enough to significantly alter electricity prices for others? Is there anything I can read on this?
