Manawa Energy : Second Quarter Operating Report September 2023

Quarterly Operating Report | Q2-23| September 2022

Quarterly Insights

ASX curve lifts again, spot prices volatile

Forward ASX pricing rose over the quarter in all forward years by around 10%. This follows increases across every quarter since December 2021. Spot pricing over the period was volatile, with weekly average Benmore pricing averaging $67/MWh (range between $167/MWh and $5/MWh) and Haywards averaging $70/MWh (range between $171/MWh and $7/MWh).

Inflows and Storage rise

National storage rose dramatically across the quarter, starting at 74% of the 10-year average and finishing at 149%. Manawa inflows were also very strong across the period, up 214 GWh (41%) on average. YTD Manawa inflows are 21% above average. Manawa storage rose from 103% of average to 140%.

Generation volumes

Total Q2-23 generation volumes were 557 GWh. This is 2% lower than the pcp due to deliberate decisions to retain water in storage where possible despite high inflows. YTD generation volumes are 2% lower than the pcp.

North Island volumes across Q2 were significantly higher (27%) than the pcp due to high inflows into our run-of-river schemes (all NI schemes are ROR), whilst Q2 South Island volumes were 27% below the pcp due to deliberate storage of water. The selective use of water in the South Island is the driver for the Q2 GWAP/TWAP of 1.35 for South Island.

C&I customer volumes

Customer volumes are down in the most recent quarter (vs the pcp). This is driven by both reduced consumption for those customers who were current across all periods, plus customer losses in the intervening months.

Q U A R T E R L Y O P E R A T I N G R E P O R T | Q 2 - 2 3

Wholesale Electricity Market

					National Controlled Storage
	5,000
	4,000
GWh	3,000
2,000
	1,000
	-
	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
			10 year avg		2019		2020		2021		2022

SOURCE: NZX Hydro

Weekly average prices - 12 months to end of Sep 2022

$300 $250 $200

$/MWh	$150
	$100

$50 $-

Oct-21Nov-21Dec-21Jan-22Feb-22Mar-22	Apr-22May-22Jun-22Jul-22Aug-22Sep-22
		Benmore			Haywards
		Benmore 10 year average			Haywards 10 year average

				National Demand
4,000
3,500
GWh
3,000
2,500
Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
		2018		2019	2020		2021		2022

Benmore ASX Futures Settlement Prices

	200
	150
$/MWh	100
50
	0

CY-23			CY-24		CY-25
31 December 2021		31 March 2022			30 June 2022		30 September 2022

Q U A R T E R L Y O P E R A T I N G R E P O R T | Q 2 - 2 3

	Generation
			Monthly Generation Volumes
	250
	200
	150
GWh	100
	50
	0
	Apr-18	Apr-19	Apr-20	Apr-21	Apr-22
			South Island Hydro	North Island Hydro

Q2-23	Q2-23	Q2-23 GWAP/TWAP
NI Generation	SI Generation	NI	1.06
27%	27%
SI	1.35
vs pcp	vs pcp
$75/MWh	New Zealand Load Weighted Average Price (LWAP)
$75/MWh	New Zealand Generation Weighted Average Price (GWAP)

NOTE: Q2 Prices

Percentage of Potential Revenue Achieved
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%

GWAP / TWAP
150%
140%
130%
120%
110%
100%
90%
NI GWAP/TWAP	SI GWAP/TWAP

Q U A R T E R L Y O P E R A T I N G R E P O R T | Q 2 - 2 3

Generation
		Manawa Lake Levels - % of long term average
160%
140%
120%
100%
80%
60%
40%
20%
0%
Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Jan	Feb	Mar
					FY-22	FY-23					GWh

Inflow variance to long term average

150

100

GWh

50

0

-50

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Feb

Mar

FY-22

FY-23

Q U A R T E R L Y O P E R A T I N G R E P O R T | Q 2 - 2 3

C&I Customer Volumes

140

120

100

80

60

40

20

0

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Feb

Mar

FY-21FY-22FY-23