Meridian Energy monthly operating report for March 2021

PG 1

Meridian Energy monthly operating report for March 2021
20 April 2021
Attached is Meridian Energy Limited's monthly operating report for the month of March 2021.
Mike Roan (CFO) and Owen Hackston (Investor Relations Manager) will host a quarterly operating result
call via a Microsoft Teams Live event today, Tuesday 20 April at 11am NZST (9am AEST).
Click on the link below at this time to join the call.
Meridian Energy Quarterly Operating results - Microsoft Teams Live Event
Please submit any question using the Q&A panel on the right-hand side of the call window. If the Q&A
panel doesn’t automatically appear, please select the small ‘?’ speech bubble.
Highlights this month include:
▪ In the month to 13 April 2021, national hydro storage decreased from 70% to 59% of historical
average
▪ South Island storage decreased to 59% of average and North Island storage decreased to 57% of
average by 13 April 2021
▪ Meridian’s March 2021 monthly total inflows were 69% of historical average
▪ Meridian’s Waitaki catchment water storage at the end of March 2021 was 58% of historical average
▪ Water storage in Meridian’s Waiau catchment was below average at the end of March 2021
▪ National electricity demand in March 2021 was 2.1% higher than the same month last year
▪ March 2021 saw above average temperatures and lower than average rainfall across much of New
Zealand. Soil moisture levels in eastern parts of the country are below average
▪ Meridian made calls under the Genesis swaption in March and April 2021
▪ Outages have been confirmed out to December 2021 on the Roxburgh-Livingstone line as part of the
Clutha Upper Waitaki Lines Project
▪ New Zealand Aluminium Smelter’s average load during March 2021 was 569MW
▪ Meridian’s New Zealand retail sales volumes in March 2021 were 15.4% higher than March 2020
▪ Compared to March 2020, segment sales increased in: SME +26.8%, agricultural +10.9%, corporate
+23.9%. Sales were lower in residential -2.7% and large business -1.6%
▪ March 2021 capex included the first payment to Siemens Gamesa under the Harapaki wind farm
contract

PG 2
Highlights for the third quarter include:
▪ Meridian’s Q3 total inflows were 70% of historical average and 31% lower than Q3 last year
▪ Meridian’s Waitaki catchment water storage at the end of Q3 was 82% lower than Q3 last year
▪ Compared to Q3 last year, Meridian’s New Zealand generation was 16.5% lower at a 266.0% higher
average price
▪ During Q3, NZ futures prices lifted significantly across all future quarters
▪ New Zealand Aluminium Smelter’s average load during Q3 was 565MW compared with 590MW in
Q3 last year
▪ National electricity demand in Q3 was 2.2% lower than Q3 last year
▪ At the end of Q3, Meridian’s New Zealand customer numbers were 5.7% higher than the same time
last year
▪ Compared to Q3 last year, Meridian’s NZ retail sales volumes were 8.2% higher at a 0.1% lower
average price
▪ All segments showed increased sales, except agricultural, which decreased 3.7%
▪ Compared to Q3 last year, Meridian’s Australian wind generation was 10.5% lower at a 91.7% lower
average price
▪ Hume water storage finished Q3 with more than 200% more storage than Q3 last year
▪ At the end of Q3, Meridian’s Australian electricity customer numbers were 5.7% higher the same
time last year
▪ Compared to Q3 last year, Meridian’s Australian retail sales volumes were 8.8% higher at an 8.7%
lower average price
▪ Compared to Q3 last year, Meridian Group Operating costs were 1.0% lower and Stay in Business
Capital Expenditure was 2.9% lower

ENDS
Neal Barclay
Chief Executive
Meridian Energy Limited







For investor relations queries, please contact:
Owen Hackston
Investor Relations Manager
021 246 4772







For media queries, please contact:
Polly Atkins
Senior Communications Specialist
021 174 1715

Monthly Operating Report
March 2021

March highlights
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |2
In the month to 13 April 2021,
national hydro storage
decreased from 70%to 59%
of historical average
South Island storage
decreased to 59%of average
and North Island storage
decreased to 57%of average
by 13 April 2021
Meridian’s March 2021
monthly total inflows were
69%of historical average
Meridian’s Waitaki catchment
water storage at the end of
March 2021 was 58%of
historical average
Water storage in Meridian’s
Waiaucatchment was below
average at the end of March
2021
New Zealand Aluminium
Smelter’s average load during
March 2021 was 569MW
Meridian’s New Zealand retail
sales volumes in March 2021
were 15.4%higher than March
2020
Compared to March 2020,
segment sales increased in:
SME +26.8%, agricultural
+10.9%, corporate +23.9%.
Sales were lower in residential -
2.7% and large business -1.6%
March 2021 capex included the
first payment to Siemens
Gamesa under the Harapaki
wind farm contract
National electricity demand in
March 2021 was 2.1%higher
than the same month last
year
March 2021 saw above
average temperatures and
lower than average rainfall
across much of New Zealand.
Soil moisture levels in eastern
parts of the country are
below average
Meridian made calls under
the Genesis swaption in
March and April 2021
Outages have been confirmed
out to December 2021 onthe
Roxburgh-Livingstone line as
part ofthe Clutha Upper
Waitaki Lines Project

2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |3
Q3 highlights
Meridian’s Q3 total inflows
were 70%of historical
average and 31%lower than
Q3 last year
Meridian’s Waitaki catchment
water storage at the end of
Q3 was 82%lower than Q3
last year
Compared to Q3 last year,
Meridian’s New Zealand
generation was 16.5%lower
at a 266.0%higher average
price
During Q3, NZ futures prices
lifted significantly across all
future quarters
New Zealand Aluminium
Smelter’s average load during
Q3 was 565MWcompared
with 590MWin Q3 last year
Hume water storage finished
Q3 with more than 200%more
storage than Q3 last year
At the end of Q3, Meridian’s
Australian electricity customer
numbers were 5.7%higher the
same time last year
Compared to Q3 last year,
Meridian’s Australian retail
sales volumes were 8.8%
higher at an 8.7%lower
average price
Compared to Q3 last year,
Meridian Group Operating
costs were 1.0%lower and
Stay in Business Capital
Expenditure was 2.9%lower
National electricity demand in
Q3 was 2.2%lower than Q3
last year
At the end of Q3, Meridian’s
New Zealand customer
numbers were 5.7%higher
than the same time last year
Compared to Q3 last year,
Meridian’s NZ retail sales
volumes were 8.2%higher at
a 0.1%lower average price
All segments showed
increased sales, except
agricultural, which decreased
3.7%
Compared to Q3 last year,
Meridian’s Australian wind
generation was 10.5%lower
at a 91.7%lower average
price
page 16 for Meridian’s quarterly operating information

Market data
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |4
▪National electricity demand in March 2021
was 2.1% higher than the same month last
year
▪March 2021 saw above average
temperatures and lower than average
rainfall across much of New Zealand. Soil
moisture levels in eastern parts of the
country are below average
▪Demand in the last 12 months was 1.9%
lower than the preceding 12 months
▪New Zealand Aluminium Smelter’s average
load during March 2021 was 569MW
▪12-month average switching rate of
customers changing retailers but not
moving (“trader” switch) was 6.3% at the
end of February 2021
▪12-month average switching rate of
customers moving and changing retailers
(“move-in” switch) was 13.0% at the end
of February 2021
Source: Electricity Authority (reconcileddemand)
Source: Electricity Authority
2,600
2,800
3,000
3,200
3,400
3,600
3,800
4,000
JanFebMarAprMayJunJulAugSepOctNovDec
GWh
NATIONAL DEMAND
Range (2010-2020)20162017
5%
7%
9%
11%
13%
15%
Feb 16Aug 16Feb 17Aug 17Feb 18Aug 18Feb 19Aug 19Feb 20Aug 20Feb 21
12 month average
MARKET ICP SWITCHING (ALL RETAILERS)
Industry Move-in SwitchesIndustry Trader Switches

Market data
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |5
▪March 2021 saw increases in ASX prices
▪National storage decreased from 70% of
average on 16 March 2021 to 59% of
average on 13 April 2021
▪South Island storage decreased to 59% of
historical average by 13 April 2021. North
Island storage decreased to 57% of
average
Source: ASX
Source: ASX
Source: NZX
0
1,000
2,000
3,000
4,000
5,000
6,000
JanFebMarAprMayJunJulAugSepOctNovDec
GWh
NATIONAL HYDRO STORAGE (13 April 2021)
87yr Average199220042008
2012201820202021
60
100
140
180
220
260
300
Q1
2021
Q2
2021
Q3
2021
Q4
2021
Q1
2022
Q2
2022
Q3
2022
Q4
2022
Q1
2023
Q2
2023
Q3
2023
Q4
2023
Q1
2024
Q2
2024
Q3
2024
Q4
2024
$/MWh
OTAHUHU ASX FUTURES SETTLEMENT PRICE
30 June 202030 November 202031 December 2020
29 January 20211 March 202131 March 2021
60
100
140
180
220
260
300
Q1
2021
Q2
2021
Q3
2021
Q4
2021
Q1
2022
Q2
2022
Q3
2022
Q4
2022
Q1
2023
Q2
2023
Q3
2023
Q4
2023
Q1
2024
Q2
2024
Q3
2024
Q4
2024
$/MWh
BENMORE ASX FUTURES SETTLEMENT PRICE
30 June 202030 November 202031 December 2020
29 January 20211 March 202131 March 2021

New Zealand retail
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |6
▪Meridian’s New Zealand customer
connection numbers rose 0.7% during
March 2021 and have risen 4.3% since
June 2020
▪Retail sales volumes in March 2021 were
15.4% higher than March 2020
▪Compared to March 2020, segment sales
increased in: SME +26.8%, agricultural
+10.9%, corporate +23.9%. Sales were
lower in residential -2.7% and large
business -1.6%
▪To date this financial year, retail sales
volumes are 11.0% higher than the same
period last year
▪This reflects increased sales in all
segments: residential +4.5%, small
medium business +14.5%, agricultural
+5.9%, large business +14.4% and
corporate +14.8%
*excludes volumes sold to New Zealand Aluminium Smelters and CFDs
Meridian operating information
Source: Meridian
Source: Meridian
115
115
116
116
116116116
117
117
120
121
121
121
121121
121
122
122
90
91
92
93
94
96
96
97
99
110
112
112
112
113
112
113
113
114
114
114
115
119
119
119
120
120
120
119
120
120
120
120
120
76
77
78
79
80
82
83
85
86
87
88
89
0
100
200
300
400
JulAugSepOctNovDecJanFebMarAprMayJune
ICPs ('000)
MERIDIAN'S NZ CUSTOMER CONNECTIONS
FY21 Meridian NIFY21 Meridian SIFY21 Powershop
FY20 Meridian NIFY20 Meridian SIFY20 Powershop
186
171
146
127
111
107
101
93
108
113
107
105
104
96
99
96
93
111
47
72
87
157
142
170
154
177
145
55
52
48
46
44
44
44
46
40
282
275
272
283
284
287
288
311
334
165
166
140
129
101
92
97
92
111
124
151
170
97
99
95
89
85
87
86
87
88
57
84
98
42
65
76
89
138
163
200
163
131
71
65
43
46
45
38
40
39
39
38
39
41
33
40
46
248
254
233
243
247
264
272
264
269
222
255
276
0
100
200
300
400
500
600
700
800
JulAugSepOctNovDecJanFebMarAprMayJune
GWh
MERIDIAN'S RETAIL SALES VOLUME*
FY21 ResidentialFY21 SMBFY21 AgriFY21 Large Bus
FY21 CorporateFY20 ResidentialFY20 SMBFY20 Agri
FY20 Large BusFY20 Corporate

New Zealand storage
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |7
▪March 2021 monthly inflows were 69% of
historical average
▪To date this financial year, inflows are 91%
of historical average
▪Meridian’s Waitaki catchment water
storage moved from 1,296GWh to
1,098GWh during March 2021
▪Waitaki water storage at the end of March
2021 was 58% of historical average and
82% lower than the same time last year
▪Water storage in Meridian’s Waiau
catchment was below average at the end
of March 2021
Meridian operating information
Source: Meridian
Source: Meridian
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
200720082009201020112012201320142015201620172018201920202021
GWh
Financial
year
MERIDIAN'S COMBINED CATCHMENT INFLOWS
March YTD87 year average
0
500
1,000
1,500
2,000
2,500
3,000
1-Jan1-Mar1-May1-Jul1-Sep1-Nov
GWh
MERIDIAN'S WAITAKI STORAGE
Average 1979-201620172018201920202021

New Zealand generation
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |8
▪Meridian’s New Zealand generation in
March 2021 was 11.1% lower than the
same month last year, reflecting lower
hydro and lower wind generation
▪To date this financial year, Meridian’s New
Zealand generation is 10.2% lower than
the same period last year, reflecting lower
hydro and lower wind generation
▪The average price Meridian received for its
generation in March 2021 was 387.0%
higher than the same month last year
▪The average price Meridian paid to supply
customers in March 2021 was 362.8%
higher than the same month last year
▪To date this financial year, the average
price Meridian received for its generation
is 65.3% higher than the same period last
year and the average price paid to supply
customers is 66.9% higher
Meridian operating information
Source: Meridian
Source: Meridian
*price received for Meridian’s physical generation
0
200
400
600
800
1,000
1,200
1,400
JulAugSepOctNovDecJanFebMarAprMayJun
GWh
MERIDIAN'S NEW ZEALAND GENERATION
FY21 HydroFY21 WindFY20 HydroFY20 Wind
145
110
124
108
87
109
135
242
254
101
123
122
121
94
51
77
43
52
42
116
136
0
50
100
150
200
250
300
JulAugSepOctNovDecJanFebMarAprMayJun
$/MWh
MERIDIAN'S AVERAGE GENERATION PRICE*
FY21FY20

Australian retail
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |9
▪Powershop Australia electricity customer
connection numbers rose 0.3% during
March 2021 and have risen 4.3% since
June 2020
▪Electricity sales volumes in March 2021
were 8.3% higher than the same month
last year
▪To date this financial year, electricity sales
volumes are 18.5% higher than the same
period last year
▪Powershop Australia gas customer
connection numbers rose 2.0% during
March 2021 and have risen 12.8% since
June 2020
▪Gas sales volumes in March 2021 were
18.6% lower than the same month last
year
▪To date this financial year, gas sales
volumes are 23.9% higher than the same
period last year
Meridian operating information
Source: Meridian
Source: Meridian
85
83
66
61
55
56
57
53
58
63
66
55
49
46
50
51
50
53
57
68
75
0
10
20
30
40
50
60
70
80
90
JulAugSepOctNovDecJanFebMarAprMayJun
GWh
AUSTRALIAN RETAIL ELECTRICITY SALES VOLUMES
FY21FY20
312
280
157
142
52
48
31
31
42
176
192
171
119
64
51
22
37
52
108
231
270
0
50
100
150
200
250
300
350
JulAugSepOctNovDecJanFebMarAprMayJun
TJ
AUSTRALIAN RETAIL GAS SALES VOLUMES
FY21FY20

Australian generation
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |10
▪Meridian’s Australian generation in March
2021 was 7.2% higher than the same month
last year, reflecting lower wind generation
and higher hydro generation
▪To date this financial year, Meridian’s
Australian generation is 13.6% higher than
the same period last year, reflecting lower
wind and higher hydro generation
▪Storage at Meridian’s Hume hydro power
station decreased to 45% of capacity by mid
April 2021
▪NEM
1
electricity demand in March 2021
was 0.8% higher than the same month last
year
▪While spot prices lifted in March 2021,
forward prices remain low and at similar
levels to recent months
Meridian operating information
Source: Meridian
1
See glossary on page 18 for a definition of Australia’s National Electricity Market
2
February average generation prices include the settlement of forward sold Large Generation
Certificates:
•Forward LGC sales are marked to market monthly through fair value movements
•Sales settle in February each year
•At which point fair value gains or losses on settled sales transfer to generation revenue
•With the FY21 settlement, generation revenue now includes market to market losses of A$3M
•This compares with settlement gains of A$12M in FY20
Source: Meridian
34
60
57
44
41
43
39
31
27
0
4
14
12
41
40
41
24
24
61
56
44
44
44
41
38
32
39
43
49
37
3
7
19
17
15
16
14
9
8
4
1
0
0
10
20
30
40
50
60
70
80
90
JulAugSepOctNovDecJanFebMarAprMayJun
GWh
MERIDIAN'S AUSTRALIAN GENERATION
FY21 WindFY21 HydroFY20 WindFY20 Hydro
90
90
70
68
75
55
53
-54
59
116
125
127
126
110
102
226
78
54
61
79
-100
-50
0
50
100
150
200
250
JulAugSepOctNovDecJanFebMarAprMayJun
$A/MWh
AVERAGE WIND GENERATION PRICE
2
FY21FY20

MARCHMARCHFEBRUARYJANUARY9 MONTHS TO9 MONTHS TO
2021202020202020MARCHMARCH
MONTHMONTHMONTHMONTH20212020
New Zealand contracted sales
Residential sales volume (GWh)108 111 93 101 1,150 1,101
Small medium business sales volume (GWh)111 88 93 96 924 807
Agricultural sales volume (GWh)145 131 177 154 1,150 1,086
Large business sales volume (GWh)40 41 46 44 418 366
Corporate and industrial sales volume (GWh)334 269 311 288 2,618 2,280
Retail contracted sales volume (GWh)738 639 721 683 6,260 5,640
Average retail contracted sales price ($NZ/MWh)$107.5$108.3$108.7$104.1$110.0$106.8
NZAS sales volume (GWh)426 463 384 426 3,761 4,105
Financial contract sales volumes (GWh)197 354 126 144 1,467 1,708
Average wholesale & financial contracts sales price ($NZ/MWh)$69.8$66.7$58.0$59.6$69.2$67.3
Retail customer supply volumes (GWh)768 666 757 719 6,575 5,910
Cost to supply retail customers ($NZ/MWh)$265.1$67.4$256.7$143.9$160.9$99.8
Cost to supply wholesale customers ($NZ/MWh)$260.3$44.7$244.8$132.6$143.1$84.2
Cost of financial contracts ($NZ/MWh)$204.8$45.7$234.0$139.1$141.5$81.1
Total New Zealand customer connections338,051 319,778 335,580 333,367
New Zealand
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |11
Meridian operating information

MARCH
MARCH
FEBRUARY
JANUARY
9 MONTHS TO
9 MONTHS TO
2021
2020
2020
2020
MARCH
MARCH
MONTH
MONTH
MONTH
MONTH
2021
2020
New Zealand generation
Hydro generation volume (GWh)
974


1,085


868


874


8,627


9,665


Wind generation volume (GWh)
87


109


83


117


1,052


1,118


Total generation volume (GWh)
1,061


1,194


951


991


9,679


10,783


Average generation price ($NZ/MWh)
$253.8
$52.1
$242.1
$134.5
$143.4
$86.7
New Zealand hedging
Hedging volume (GWh)
431


428


345


312


2,804


1,956


Hedging cost average price ($NZ/MWh)
$127.0
$106.4
$115.6
$98.5
$105.7
$84.7
Hedging spot revenue average price ($NZ/MWh)
$219.0
$59.8
$235.0
$136.8
$151.1
$89.5
Future contract close outs ($NZm)
-$3.6
-$0.1
-$4.5
-$1.5
-$19.7
-$5.3
New Zealand
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |12
Meridian operating information

Australia
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |13
Meridian operating information
MARCH
2021
MONTH
MARCH
2020
MONTH
FEBRUARY
2021
MONTH
JANUARY
2021
MONTH
9 MONTHS TO
MARCH
2021
9 MONTHS TO
MARCH
2020
Australian contracted sales
Retail contracted electricity sales volume (GWh)58535357573484
Average electricity contractedsales price
1
($A/MWh)$124.1$142.0$129.7$131.8$137.2$149.7
Retail contracted gas sales volume (TJ)425231311,095884
Average gas contractedsales price
1
($A/GJ)$24.2$18.7$28.0$29.8$15.5$15.6
Financial contract sales volumes
2
(GWh)42463842333489
Financial contractedsales average price ($A/MWh)$86.4$122.0$86.4$86.4$73.8$93.7
Cost to supplyelectricity customers ($A/MWh)$56.8$53.6$48.0$53.2-$63.9-$118.3
Cost to supplygas customers ($A/GJ)$17.8$13.6$17.7$22.8-$12.9-$12.1
Cost of financial contracts ($A/MWh)$39.1$45.8$30.2$33.2-$44.9-$83.5
Powershop electricity customer connections
7
141,998134,399141,643141,203
Powershop gas customer connections
8
42,72835,39241,88441,247

Australia
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |14
Meridian operating information
MARCH
2021
MONTH
MARCH
2020
MONTH
FEBRUARY
2021
MONTH
JANUARY
2021
MONTH
9 MONTHS
TO MARCH
2021
9 MONTHS TO
MARCH
2020
Australian generation
Wind generation volumes (GWh)27393139376398
Average wind generationprice
5
($A/MWh)$58.9$77.8-$54.4$52.7$60.8$152.6
Hydro generation volumes (GWh)2482441202108
Average hydro generationprice
5
($A/MWh)$43.7$43.8$33.3$37.6$55.8$88.3
PPA generation received (GWh)25302428258276
Average PPA generationprice [net of costs] ($A/MWh)-$13.4-$8.9-$18.2-$15.8-$8.9$23.8
Australian hedging
Hedging volume
6
(GWh)1342159200383
Hedging costs ($A/MWh)$266.6-$185.1$266.8$482.6$137.4$107.7
Hedging spot revenue average price ($A/MWh)$50.4$43.5$82.2$109.7$59.1$85.8
Future contract close outs ($A M)$0.0-$0.1-$0.7-$0.3-$1.2$1.1

Meridian group
2 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |15
Meridian operating information
MARCH
2021
MONTH
MARCH
2020
MONTH
FEBRUARY
2021
MONTH
JANUARY
2021
MONTH
9 MONTHS TO
MARCH
2021
9 MONTHS TO
FEBRUARY
2020
Meridian Group
Employee and Operating Costs
9
($m)22212118187188
Stay in Business Capital Expenditure ($m)44333133
Investment Capital Expenditure ($m)342326013
Total Capital Expenditure ($m)386659146
Footnotes
1.Contracted sales volumes and volume weighted average price received from
contracted customers less distribution costs
2.Derivatives sold excluding the sell-side of virtual asset swaps
3.Average price of both NZAS sales volume and derivative sales volumes
4.Meridian Retail and Powershop New Zealand installation control points (ICPs),
excluding vacants
5.Volume weighted average price received for Meridian’s physical generation
6.Over the counter and ASX contract volumes excluding the buy-side of virtual asset
swaps
7.Financially responsible market participants, excluding vacants
8.Meter installation registration numbers
9.Excludes electricity metering expenses, now reclassified into gross margin
▪With the announcement of the commencement of the Harapakiwind farm build, FY21
capex is now expected to be between $120M-$130M(previously $70M-$80M)
▪$50M to $55M of stay in business capex
▪$70M to $75M of currently approved investment spend

FY21 operating information
162 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |
Meridian operating information
JulAugSepOctNovDecJanFebMarAprMayJunQ1YoYQ2YoYQ3YoYQ4YoY
202020202020202020202020202120212021202120212021FY21changeFY21changeFY21changeFY21change
New Zealand contracted sales
Residential sales volume (GWh)18617114612711110710193108503+31345+16302+2
Small medium business sales volume (GWh)11310710510496999693111325+34299+44300+39
Agricultural sales volume (GWh)477287157142170154177145205+22469+60476-18
Large business sales volume (GWh)555248464444444640155+26134+14130+12
Corporate and industrial sales volume (GWh)282275272283284287288311334829+93855+117933+127
Retail contracted sales volume (GWh)6836776577176787076837217382,017+2062,102+2522,141+163
Average retail contracted sales price ($NZ/MWh)$120.4$119.3$118.1$106.0$103.1$104.2$104.1$108.7$107.5$119.3+$6.3$104.5+$3.6$106.8-$0.1
NZAS sales volume (GWh)4264264114264124264263844261,262-1101,263-1101,236-123
Financial contract sales volumes (GWh)188125201126221140144126197514+40487+59467-339
Average wholesale & financial contracts sales price ($NZ/MWh)$82.0$70.4$74.2$69.4$69.9$66.8$59.6$58.0$69.8$75.7+$6.0$68.7+$3.9$62.9-$4.4
Retail customer supply volumes (GWh)7047176967557177437197577682,117+2292,215+2742,244+163
Cost to supply retail customers ($NZ/MWh)$165.1$120.6$140.3$126.9$101.0$118.8$143.9$256.7$265.1$141.9+$16.8$115.8+$16.6$223.4+$146.1
Cost to supply wholesale customers ($NZ/MWh)$143.8$109.6$122.2$95.8$76.3$109.2$132.6$244.8$260.3$125.2+$10.5$94.0+$9.5$211.5+$158.5
Cost of financial contracts ($NZ/MWh)$143.7$113.1$127.8$110.8$92.3$119.1$139.1$234.0$204.8$130.0+$16.3$104.7+$10.2$192.5+$137.7
Total New Zealand customer connections326,148327,125328,602329,710331,240332,587333,367335,580338,051328,602+19,230332,587+18,988338,051+18,273
New Zealand generation
Hydro generation volume (GWh)9759048791,0661,0541,0348748689742,758-4743,153-222,716-542
Wind generation volume (GWh)1151131581261251281178387385+8379-22287-52
Total generation volume (GWh)1,0891,0171,0371,1921,1791,1629919511,0613,144-4663,533-443,003-593
Average generation price ($NZ/MWh)$144.5$110.1$123.7$107.7$86.5$109.3$134.5$242.1$253.8$126.5+$11.5$101.2+$13.8$210.7+$153.0
New Zealand hedging
Hedging volume (GWh)318266268241314308312345431852+436863+3891,088+23
Hedging cost average price ($NZ/MWh)$109.3$104.6$101.2$96.2$93.6$93.2$98.5$115.6$127.0$105.3+$41.8$94.2+$28.9$115.2+$13.5
Hedging spot revenue average price ($NZ/MWh)$133.4$123.8$132.6$114.4$94.0$121.9$136.8$235.0$219.0$130.2+$10.9$109.7+$15.6$358.8+$282.9
Future contract close outs ($NZm)-1.6-1.9-2.90.6-2.9-1.3-1.5-4.5-3.6-6.4-4.2-3.7-1.1-9.7-9.1
Australia contracted sales
Retail contracted electricity sales volume (GWh)858366615556575358234+49171+26168+13
Average electricity contracted sales price
1
($A/MWh)$142.7$137.7$146.3$140.0$144.9$132.2$131.8$129.7$124.1$142.2-$1.0$139.0-$28.5$128.5-$12.2
Retail contracted gas sales volume (TJ)3122801571425248313142749+210242+8104-7
Average gas contracted sales price
1
($A/GJ)$14.7$11.5$12.0$15.5$22.2$23.3$29.8$28.0$24.2$12.9-$0.8$18.5+$1.9$27.0+$4.2
Financial contract sales volumes
2
(GWh)26332942414042384288-69124-73121-14
Financial contracted sales average price ($A/MWh)$67.6$65.7$66.5$66.8$66.8$66.4$86.4$86.4$86.4$66.5-$20.1$66.7-$13.1$86.4-$35.6
Cost to supply electricity customers ($A/MWh)$79.5$85.5$61.3$73.1$77.5$20.8$53.2$48.0$56.8$76.6-$40.2$57.5-$39.6$52.8-$87.2
Cost to supply gas customers ($A/GJ)$10.1$11.3$14.6$13.4$12.7$19.9$22.8$17.7$17.8$11.5+$0.5$14.5+$4.2$19.3-$2.0
Cost of financial contracts ($A/MWh)$56.7$53.5$37.0$52.2$54.4$50.0$33.2$30.2$39.1$49.1-$48.1$52.2-$23.2$34.3-$45.2
Powershop electricity customer connections
7
136,696137,530138,289139,162140,346140,965141,203141,643141,998138,289+23,190140,965+16,297141,998+7,599
Powershop gas customer connections
8
38,54438,97839,25139,54040,38040,81441,24741,88442,72839,251+12,72240,814+10,34942,728+7,336
Australia generation
Wind generation volume (GWh)346057444143393127151-10127-297-11
Average wind generation price ($A/MWh)$90.3$90.4$69.6$67.8$75.0$54.8$52.7-$54.4$58.9$82.6-$39.4$65.7-$47.1$20.4-$224.6
Hydro generation volume (GWh)041412414041242419-1194+4689+58
Average hydro generation price ($A/MWh)-$51.7$39.0$59.0$72.6$86.3$37.6$33.3$43.7$41.9-$56.3$75.3-$2.4$38.0-$57.3
PPA generation received (GWh)27333430272928242594-586-478-9
Average PPA generation price [net of costs] ($A/MWh)-$1.6-$3.8-$14.4-$2.2-$1.1-$10.7-$15.8-$18.2-$13.4-$7.0-$37.0-$4.7-$28.2-$15.8-$32.7
Australia hedging
Hedging volume (GWh)35423713201691513115+449-9937-88
Hedging costs ($A/MWh)$48.4$78.3$82.6$204.9$176.2$99.7$482.6$266.8$266.6$70.6-$26.7$157.9+$56.7$319.2+$194.4
Hedging spot revenue average price ($A/MWh)$18.6$55.8$40.6$149.6$71.6$69.7$109.7$82.2$50.4$39.5-$66.0$91.3+$11.7$77.9-$2.2
Future contract close outs ($A M)-$0.2$0.0$0.0$0.0$0.0$0.0-$0.3-$0.7$0.0-$0.3-$0.4-$0.1-$0.7-$0.9-$1.2
Meridian Group
Employee and Operating Costs ($NZ m)21212121222118212263-264+261-1
Stay in Business Capital Expenditure ($NZ m)34443333411+010-210-0
Investment Capital Expenditure ($NZ m)733223233413+87+339+34
Total Capital Expenditure ($NZ m)1077656563824+817+149+34

JulAugSepOctNovDecJanFebMarAprMayJun
201920192019201920192019202020202020202020202020
New Zealand contracted sales
Residential sales volume (GWh)165166140129101989792111124151170
Small medium business sales volume (GWh)979995898581868788578598
Agricultural sales volume (GWh)42657689138181200163131716543
Large business sales volume (GWh)464538403940383941334046
Corporate and industrial sales volume (GWh)249255233243247248272264269222255277
Retail contracted sales volume (GWh)599630583590610650694646639507596634
Average retail contracted sales price ($NZ/MWh)$113.5$115.4$109.5$102.7$99.8$100.0$103.3$109.5$108.3$109.2$106.8$116.5
NZAS sales volume (GWh)463463447463448463463433463416426485
Financial contract sales volumes (GWh)150176148129135164170283354222318280
Average wholesale & financial contracts sales price ($NZ/MWh)$69.9$70.9$68.4$67.0$65.3$62.3$66.5$68.7$66.7$64.8$65.4$66.5
Retail customer supply volumes (GWh)645662581623650669733682666537624661
Cost to supply retail customers ($NZ/MWh)$110.4$135.6$129.3$130.2$112.7$57.1$95.1$67.9$67.4$50.1$132.3$132.2
Cost to supply wholesale customers ($NZ/MWh)$97.9$120.5$126.1$118.7$89.6$45.4$76.8$36.6$44.7$43.4$113.4$144.3
Cost of financial contracts ($NZ/MWh)$101.9$118.2$120.5$112.6$92.8$81.6$86.7$47.0$45.7$52.1$98.9$130.6
Total New Zealand customer connections304,993307,798309,372311,694313,150313,599315,225317,784319,778321,051322,448324,253
New Zealand generation
Hydro generation volume (GWh)1,1111,1061,0159801,0491,1471,0951,0771,0859591,176958
Wind generation volume (GWh)116135126143133125122108109116106126
Total generation volume (GWh)1,2271,2411,1411,1231,1821,2721,2171,1851,1941,0751,2821,084
Average generation price ($NZ/MWh)$100.7$122.7$121.9$121.4$93.7$51.4$77.1$43.4$52.1$41.9$116.0$126.8
New Zealand hedging
Hedging volume (GWh)145139132145148182296342428239218317
Hedging cost average price ($NZ/MWh)$65.0$63.2$62.2$64.4$67.3$64.4$96.1$100.7$106.4$77.4$70.1$87.6
Hedging spot revenue average price ($NZ/MWh)$104.4$130.5$124.0$122.6$104.1$63.1$100.0$75.1$59.8$51.5$101.9$134.9
Future contract close outs ($NZm)-0.3-0.6-1.4-1.5-0.2-0.9-0.2-0.2-0.1-2.0-4.3-2.3
Australia contracted sales
Retail contracted electricity sales volume (GWh)636655494650515053576875
Average electricity contracted sales price
1
($A/MWh)$149.8$147.0$131.2$168.0$174.0$161.1$130.0$150.4$142.0$121.1$146.5$147.6
Retail contracted gas sales volume (TJ)1761921711196451223752108231270
Average gas contracted sales price
1
($A/GJ)$13.9$14.0$13.4$13.8$18.9$20.0$33.4$22.2$18.7$12.5$15.4$12.5
Financial contract sales volumes
2
(GWh)54436065636846434671922
Financial contracted sales average price ($A/MWh)$83.3$86.1$90.1$80.1$80.1$79.2$122.0$122.0$122.0$176.6$69.5$59.8
Cost to supply electricity customers ($A/MWh)$105.5$126.4$118.0$119.9$89.2$82.2$257.6$111.9$53.6$56.8$67.5$78.1
Cost to supply gas customers ($A/GJ)$11.8$11.4$9.8$8.6$14.0$9.9$41.1$20.4$13.6$13.4$11.2$11.6
Cost of financial contracts ($A/MWh)$86.9$101.0$103.6$100.1$68.3$58.2$138.8$52.2$45.8$87.4$39.8$42.3
Powershop electricity customer connections
7
111,373112,995115,099118,721121,575124,668127,847131,647134,399135,205135,628136,202
Powershop gas customer connections
8
24,09625,24026,52927,85829,18230,46532,38733,42835,39236,07736,95537,878
Australia generation
Wind generation volume (GWh)615644444441383239434937
Average wind generation price ($A/MWh)$115.7$124.7$127.3$125.5$110.3$101.9$225.9$474.6$77.8$54.2$61.4$79.2
Hydro generation volume (GWh)37191715161498410
Average hydro generation price ($A/MWh)$81.0$104.0$99.2$99.4$66.9$64.4$153.1$56.4$43.8$39.1$39.9$58.5
PPA generation received (GWh)353430313029292830303228
Average PPA generation price [net of costs] ($A/MWh)$22.9$30.3$38.4$45.2$16.5$7.8$59.5$1.4-$8.9-$14.5-$13.1-$9.1
Australia hedging
Hedging volume (GWh)363936504850394342364037
Hedging costs ($A/MWh)$87.3$98.6$105.6$102.1$109.8$93.9-$23.1$197.7$185.1$79.3-$49.6$80.6
Hedging spot revenue average price ($A/MWh)$99.6$105.5$111.4$107.7$72.3$58.6$130.3$58.6$43.5$41.7$42.9$55.0
Future contract close outs ($A M)$0.0$0.2-$0.1$0.0$0.7-$0.1$0.0$0.5-$0.1$0.8$0.7$0.0
Meridian Group
Employee and Operating Costs ($NZ m)212122222219192121201931
Stay in Business Capital Expenditure ($NZ m)434444334336
Investment Capital Expenditure ($NZ m)122121122113
Total Capital Expenditure ($NZ m)556565456449
FY20 operating information
172 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |
Meridian operating information

Glossary
182 0 A P R I L 2 0 2 1 | M O N T H L Y O P E R A T I N G R E P O R T F O R M A R C H 2 0 2 1 |
Hedging volumesbuy-side electricity derivativesexcludingthe buy-side of virtual asset swaps
Average generation pricethe volume weighted average price received for Meridian’s physical generation
Average retail contracted sales pricevolume weighted average electricity price received from retail customers, less distribution costs
Average wholesale contracted sales pricevolume weighted average electricity price received from wholesale customers(including NZAS) and financial contracts
Combined catchment inflowscombined water inflows into Meridian’s Waitaki and Waiau hydro storage lakes
Cost of hedgesvolume weighted average price Meridian pays for derivatives acquired
Cost to supply contracted salesvolume weighted average price Meridian pays to supply contracted customer sales and financial contracts
Contracts for Difference (CFDs)an agreement betweenparties to pay the difference between the wholesale electricity price and an agreed fixed price for
a specified volume of electricity. CFDs do not result in the physical supply of electricity
Customer connections (NZ)number of installation control points, excluding vacants
FRMPfinancially responsible market participant
GWhgigawatt hour. Enough electricity for 125 average New Zealand households for one year
Historic average inflowsthe historic average combined water inflows into Meridian’s Waitaki and Waiau hydro storage lakes over the last 85 years
Historic average storagethe historic average level of storage in Meridian’s Waitaki catchment since 1979
HVDChigh voltage direct current link between the North and South Islands of New Zealand
ICPNew Zealand installation control points, excluding vacants
ICP switchingthe number of installation control points changing retailer supplier in New Zealand, recorded in the month the switch was
initiated
MWhmegawatt hour. Enough electricity for one average New Zealand household for 46 days
NationaldemandElectricity Authority’s reconciled grid demand www.emi.ea.govt.nz
NEMAustralia’s national energy market, comprising Queensland, New South Wales (including the Australian Capital Territory),
Victoria, South Australia, and Tasmania
NZASNew Zealand Aluminium SmeltersLimited
Retail sales volumescontract sales volumes to retail customers, including both non half hourly and half hourly metered customers
Financial contract salessell-side electricity derivatives excluding thesell-side of virtual asset swaps
TJTerajoules
Virtual Asset Swaps(VAS)CFDs Meridian has with Genesis Energy and Mercury New Zealand. They do not result in the physical supply of electricity