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Genesis Energy Limited

Company type	Public
Traded as	NZX: GNE ASX: GNE
Industry	Energy
Predecessor	Electricity Corporation of New Zealand
Founded	1999 (1999); 25 years ago
Headquarters	Auckland, New Zealand
Key people	Barbara Chapman, Chairman Malcom Johns, Chief Executive
Services	Electricity, Natural Gas, LPG
Revenue	NZ$3,040M
Operating income	NZ$407M
Net income	NZ$131M
Total assets	NZ$3,778M
Total equity	NZ$1,991M
Owner	New Zealand Government (51%)
Number of employees	860
Website	genesisenergy.co.nz

Genesis Energy Limited, formerly Genesis Power Limited is a New Zealand publicly listed electricity generation and electricity, natural gas and LPG retailing company. It was formed as part of the 1998–99 reform of the New Zealand electricity sector, taking its generation capacity from the breakup of the Electricity Corporation of New Zealand (ECNZ) and taking retail customers from three local power boards in the Lower North Island. The New Zealand Government owns a 51% share of the company.

Genesis Energy is the largest electricity and natural gas retailer in New Zealand with 26% and 39% market share respectively in the 2015–2016 financial year. In 2015, Genesis produced 14% of New Zealand's electricity, and is the third largest electricity generating company in New Zealand in terms of MW capacity, GWh generation and revenue (see comparison table at New Zealand electricity market).

History

Genesis Energy began business on 1 April 1999, after the reform of the New Zealand electricity market and the breakup of the Electricity Corporation of New Zealand (ECNZ). It took over the Huntly Power Station, Tongariro Power Scheme and Waikaremoana Hydro Scheme from ECNZ, and the Hau Nui Wind Farm and the Kourarau Hydro Scheme from Wairarapa Electricity. It also inherited the retail arms of Powerco, Central Power and Wairarapa Electricity, while Powerco and Central Power concentrated on electricity distribution (the distribution arm of Wairarapa Electricity merged with Powerco on the same day).

During 2000 to 2002 Genesis Energy purchased several electricity and gas retailing entities, following changes to laws governing the electricity industry. These included electricity retail businesses of Todd Energy, and electricity and gas customers from NGC (now Vector Limited) and Energy Online.

In September 2013, the company announced a change of name from Genesis Power Limited to Genesis Energy Limited.

On 17 April 2014, the National Government sold a 49% stake in Genesis Energy through an initial public offering at NZ$1.55 per share.

In February 2018, Genesis Energy announced a pathway to a coal-free electricity future for New Zealand by 2030.

In 2024, the company downgraded the reserves at Kupe by 81 petajoules of gas resulting in a $64 million writedown. This, along with other factors including a power station outage, resulted in a steep decline in profits although revenue was up.

Power stations

Genesis Energy owns and operates a diverse portfolio of assets that includes hydroelectric, thermal and wind generation.

Genesis Energy operates three hydroelectric generating stations on the (361.8 MW) Tongariro Power Scheme – Rangipo (120 MW), Tokaanu (240 MW) and Mangaio (1.8 MW). It also operates the (138 MW) Lake Waikaremoana hydro scheme, comprising the Tuai (60 MW), Kaitawa (36 MW) and Piripaua (42 MW) stations.

On 1 June 2011, Genesis Energy purchased Tekapo A (27 MW) and B (160 MW) hydroelectric power stations from Meridian Energy.

Genesis Energy operates the Huntly Power Station, a (953 MW) coal- and gas-fired thermal plant on the Waikato River. In addition to two gas/coal-fired generating units, Huntly has a 50 MW open-cycle gas turbine unit that runs as base load, and a (403 MW) combined cycle gas turbine commissioned in June 2007 as a NZ$500 million project. Huntly also has a third coal unit, which can be taken out of storage within 90 days. The coal units are mainly used as hydro firming when New Zealand is in a dry winter.

The first of the four coal-fired units at the Huntly Power Station was taken out of service in late 2012. A second unit was placed into long-term storage in December 2013 and permanently retired in June 2015.

The company also operates the (7.3 MW) Hau Nui windfarm in the North Island.

Future generation developments

Castle Hill

Genesis Energy has resource consents for a wind farm at Castle Hill, 20 km north-east of Masterton in the northern Wairarapa. It is planning up to 286 turbines over a 30 km (12 sq mi) area, with a total installed capacity of up to 860 MW and potentially generating over 2000 GWh per year.

Slopedown Wind Farm

In 2010, Genesis Energy purchased the Slopedown wind from Wind Prospect CWP Ltd. It is 15 km east of Wyndham. Genesis Energy has not yet applied for resource consents.

Community and sustainability investments

Science Based Targets

Genesis has created Science Based Targets to align their sustainability goals to. They aim to reduce scope 1 and 2 emissions by 36% and reduce scope 3 emissions 21%.

School-gen and School-gen Trust

Genesis Energy began its School-gen programme in 2006 to teach students about solar power, renewable energy and energy efficiency. The School-gen programme has created extensive teaching resources, including Maker Projects and eBooks that are free for any school in New Zealand. It has also provided 92 New Zealand schools with either a 2, 4 or 6 kilowatt photovoltaic (PV) solar panel system, at no cost to the schools. The largest solar array on a School-gen school is 16 kilowatts on Vauxhall School in Auckland. The PV system allows these schools to generate a portion of their electricity from the sun while also teaching students about solar energy.

Duffy Books in Schools

Duffy Books in Homes aims to encourage reading and supports students in lower socio-economic areas where the children are more likely to come from homes without access to books.

Whio Forever Project

Genesis Energy has partnered with the New Zealand Department of Conservation to help save the endangered native whio or blue duck. The Whio Forever Project includes a national recovery plan that will double the number of fully operational secure breeding sites throughout New Zealand and boost pest control efforts.

Curtain Bank

Genesis Energy is the major sponsor of the Wellington Curtain Bank and the Christchurch Curtain Bank. The curtain banks take donated second-hand curtains or fabric and re-cut and line them for distribution to households in need. This helps households in saving money on their energy bills and to create warmer, healthier homes. Some retailers offer a service in which they take down and donate your old curtains when installing new ones.

Ngā Ara Creating Pathways

This Genesis developed programme creates transformational education, training and employment opportunities to prepare young people in our local communities for the future of work.

POU at Huntly

POU is a marae-owned entity that delivers facilities maintenance services to Huntly Power Station.

Retail focus areas

• Genesis is focusing on electricity management tools for its customers including their app that has been around since 2016 - app functions include energy usage graphs, bill payments and moving home tools
• The Genesis website was updated in 2022 and focuses messaging on Energy IQ, joining and moving house through their website content

Other developments

• Genesis Energy owns a 46% interest in the Kupe natural gas field.
• Genesis Energy is a founding member of Awatea, the New Zealand marine energy association.
• The Gasbridge LNG project was a 50:50 joint venture between Genesis and Contact Energy.

Subsidiaries

Frank Energy (previously Energy Online)

Genesis Energy purchased Energy Online in December 2002 from the Newcall Group Limited. Energy Online was rebranded to Frank Energy in 2021. After continued growth Frank Energy now services more than 110,000 customers with a primary focus on retailing energy services to an expanding customer base in the North Island.

Infogen

Genesis energy retailed internet services to its customers through its Infogen service. The service was outsourced and provided by Orcon until it was purchased by Orcon in 2009.

See also

• Electricity sector in New Zealand

References

1. ^ "Genesis Energy's full year profit drops a third". RNZ. 22 August 2024. Retrieved 23 August 2024.
2. ^ "Genesis profit falls as it downgrades gas reserves". www.stuff.co.nz. 21 August 2024. Retrieved 23 August 2024.
3. ^ Genesis Energy (September 2016). "Annual Report 2016" (PDF). NZSX.
4. "Energy in New Zealand". MBIE. August 2016. Archived from the original on 15 February 2016. Retrieved 8 November 2016.
5. "Genesis Energy Limited - Name and address change". NZX. 9 September 2013.
6. "| Genesis NZ". Genesis. Archived from the original on 21 February 2018. Retrieved 21 February 2018.
7. "Genesis Energy set to acquire Meridian Energy hydro plants". Power-Gen Worldwide. PennWell Corporation. 16 May 2011. Retrieved 4 June 2011.
8. "Statement of Corporate Intent". Genesis Energy. 30 June 2010. Archived from the original on 14 October 2013. Retrieved 12 November 2013.
9. "Existing Generation Plant 2015 - New Zealand Electricity Authority". Retrieved 8 November 2016.
10. "Genesis planning massive windfarm". The New Zealand Herald. 30 August 2011.
11. "Project Description Castle Hill Wind Farm - Genesis Energy". Archived from the original on 14 October 2013. Retrieved 9 July 2011.
12. Dixon, Alana (15 April 2011). "Slopedown wind farm not a priority: Genesis". Southland Times.
13. "School-gen". Archived from the original on 30 January 2018. Retrieved 22 June 2012.
14. "Whio Forever Project". Archived from the original on 15 April 2012. Retrieved 22 June 2012.
15. "Media Release: Launch of Frank Energy".
16. "Market Share Trends".
17. Keall, Chris (14 August 2009). "Orcon acquires two ISPs, making it our fourth largest ISP". National Business Review. Archived from the original on 16 August 2009.

External links

• Official website

• Companies based in Auckland
• Companies listed on the Australian Securities Exchange
• Companies listed on the New Zealand Exchange
• Companies in the S&P/NZX 50 Index
• Dual-listed companies
• Electric power companies of New Zealand
• Government-owned companies of New Zealand
• New Zealand companies established in 1999