Meridian Energy monthly operating report for August 2021

Release






M e r i d i a n E n e r g y L i m i t e d ( A R B N 1 5 1 8 0 0 3 9 6 ) A c o m p a n y i n c o r p o r a t e d i n N e w Z e a l a n d
L e v e l 2 , 5 5 L a d y E l i z a b e t h L a n e , P O B o x 1 0 8 4 0 , W e l l i n g t o n 6 1 4 3

m e r i d i a n e n e r g y . c o . n z
Stock Exchange Listings NZX (MEL) ASX (MEZ)
Meridian Energy monthly operating report for August 2021

16 September 2021
Attached is Meridian Energy Limited's monthly operating report for the month of August 2021.

Highlights this month include:
▪ In the month to 10 September 2021, national hydro storage increased from 103% to 126% of
historical average
▪ South Island storage increased to 139% of average and North Island storage increased to 83% of
average by 10 September 2021
▪ Meridian’s August 2021 monthly total inflows were 161% of historical average
▪ Meridian’s Waitaki catchment water storage at the end of August 2021 was 136% of historical
average
▪ Water storage in Meridian’s Waiau catchment was above average at the end of August 2021
▪ Waitaki snow storage in early September 2021 was 118% of historical average
▪ National electricity demand in August 2021 was 0.3% lower than the same month last year.
More stringent lockdowns were in place this August compared to August 2020
▪ August 2021 was another unseasonably warm month with temperatures above average for
almost all the country. Rainfall was mixed, including above average totals in areas of the South
Island
▪ Meridian made some calls under the Genesis swaption in August 2021 during the HVDC Pole 2
outage
▪ New Zealand Aluminium Smelter’s average load during August 2021 was 570MW
▪ Meridian’s New Zealand retail sales volumes in August 2021 were 12.2% higher than August
2020
▪ Compared to August 2020, segment sales increased in residential +14.2%, small medium
business +18.8% and corporate +17.2%. Large business volumes were -10.3% lower and
agricultural volumes were -5.0% than August 2020
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
External Communications Manager
021 174 1715

Monthly Operating Report
August 2021

August highlights
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |2
In the month to 10 September
2021, national hydro storage
increased from 103% to 126%
of historical average
South Island storage
increased to 139%of average
and North Island storage
increased to 83%of average
by 10 September 2021
Meridian’s August 2021
monthly total inflows were
161%of historical average
Meridian’s Waitaki catchment
water storage at the end of
August 2021 was 136%of
historical average
Water storage in Meridian’s
Waiaucatchment was above
average at the end of August
2021
Meridian made some calls
under the Genesis swaption in
August 2021​ during the HVDC
Pole 2 outage
New Zealand Aluminium
Smelter’s average load during
August 2021 was 570MW
Meridian’s New Zealand retail
sales volumes in August 2021
were 12.2%higher than August
2020
Compared to August 2020,
segment sales increased in
residential +14.2%, small
medium business+18.8% and
corporate +17.2%. Large
business volumes were -10.3%
lower and agricultural volumes
were -5.0% than August 2020
Waitaki snow storage in early
September 2021 was 118%of
historical average
National electricity demand in
August 2021 was 0.3%lower
than the same month last
year. More stringent
lockdowns were in place this
August compared to August
2020
August 2021 was another
unseasonably warm month
with temperatures above
average for almost all the
country. Rainfall was mixed,
including aboveaverage
totals in areas of the South
Island

Market data
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |3
▪National electricity demand in August 2021
was 0.3% lower than the same month last
year. More stringent lockdowns were in
place this August compared to August 2020
▪August 2021 was another unseasonably
warm month with temperatures above
average for almost all the country. Rainfall
was mixed, including above average totals
in areas of the South Island
▪Demand in the last 12 months was 0.8%
higher than the preceding 12 months
▪New Zealand Aluminium Smelter’s average
load during August 2021 was 570MW
▪12-month average switching rate of
customers changing retailers but not
moving (“trader” switch) was 6.2% at the
end of July 2021
▪12-month average switching rate of
customers moving and changing retailers
(“move-in” switch) was 14.2% at the end of
July 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%
Jul 16Jan 17Jul 17Jan 18Jul 18Jan 19Jul 19Jan 20Jul 20Jan 21Jul 21
12 month average
MARKET ICP SWITCHING (ALL RETAILERS)
Industry Move-in SwitchesIndustry Trader Switches

Market data
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |4
▪August 2021 saw slight increases in ASX
prices
▪National storage increased from 103% of
average on 11 August 2021 to 126% of
average on 10 September 2021
▪South Island storage increased to 139% of
historical average by 10 September 2021.
North Island storage increased to 83% 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 (10 September 2021)
87yr Average199220042008
2012201820202021
70
110
150
190
230
270
310
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
31 March 202130 April 202131 May 2021
30 June 202130 July 202131 August 2021
70
110
150
190
230
270
310
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
31 March 202130 April 202131 May 2021
30 June 202130 July 202131 August 2021

New Zealand retail
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |5
▪Meridian’s New Zealand customer
connection numbers rose 0.7% during
August 2021 and have risen 1.9% since
June 2021
▪Retail sales volumes in August 2021 were
12.2% higher than August 2020
▪Compared to August 2020, segment sales
increased in residential +14.2%, small
medium business+18.8% and corporate
+17.2%. Large business volumes were
-10.3% lower and agricultural volumes
were -5.0% than August 2020
▪To date this financial year, retail sales
volumes are 12.9% higher than the same
period last year
▪This reflects increased segment sales in:
residential +12.2%, small medium business
+25.2%, agricultural +0.7% and corporate
+15.5%. Large business volumes are
-10.1% lower
*excludes volumes sold to New Zealand Aluminium Smelters and CFDs
Meridian operating information
Source: Meridian
Source: Meridian
205
195
149
127
51
68
49
47
321
322
186
171
146
127
111
107
101
93
108
121
160
174
113
107
105
104
96
99
96
93
111
109
126
134
47
72
87
157
142
170
154
177
145
116
66
43
55
52
48
46
44
44
44
46
40
37
44
45
282
275
272
283
284
287
288
311
334
311
339
319
0
300
600
900
JulAugSepOctNovDecJanFebMarAprMayJune
GWh
MERIDIAN'S RETAIL SALES VOLUME*
FY22 ResidentialFY22 SMBFY22 AgriFY22 Large Bus
FY22 CorporateFY21 ResidentialFY21 SMBFY21 Agri
FY21 Large BusFY21 Corporate
120120
123
123
109
111
115
115
116
116
116116116
117
117
118
119
119
120
121
121
121
121121
121
122
122
122
122
122
90
91
92
93
94
96
96
97
99
101
103
106
0
100
200
300
400
JulAugSepOctNovDecJanFebMarAprMayJune
ICPs ('000)
MERIDIAN'S NZ CUSTOMER CONNECTIONS
FY22 Meridian NIFY22 Meridian SIFY22 Powershop
FY21 Meridian NIFY21 Meridian SIFY21 Powershop

New Zealand storage
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |6
▪August 2021 monthly inflows were 161%
of historical average
▪Winter 2021 inflows (June-August) were
the highest winter inflows on record
▪To date this financial year, inflows are
158% of historical average
▪Meridian’s Waitaki catchment water
storage moved from 1,496GWh to
1,517GWh during August 2021
▪Waitaki water storage at the end of August
2021 was 136% of historical average and
61% higher than the same time last year
▪Water storage in Meridian’s Waiau
catchment was well above average at the
end of August 2021
▪Waitaki snow storage in early September
2021 was 118% of historical average
Meridian operating information
Source: Meridian
Source: Meridian
0
500
1,000
1,500
2,000
2,500
200820092010201120122013201420152016201720182019202020212022
GWh
Financial
year
MERIDIAN'S COMBINED CATCHMENT INFLOWS
August YTD88 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
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |7
▪Meridian’s New Zealand generation in
August 2021 was 12.9% higher than the
same month last year, reflecting higher
hydro and higher wind generation
▪To date this financial year, Meridian’s New
Zealand generation is 7.0% higher than the
same period last year, reflecting higher
hydro and higher wind generation
▪The average price Meridian received for its
generation in August 2021 was 23.6%
higher than the same month last year
▪The average price Meridian paid to supply
customers in August 2021 was 25.6%
higher than the same month last year
▪To date this financial year, the average
price Meridian received for its generation
is 18.0% higher than the same period last
year and the average price paid to supply
customers is 18.7% 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
FY22 HydroFY22 WindFY21 HydroFY21 Wind
166
136
145
110
124
108
87
109
135
242
254
273
283
248
0
50
100
150
200
250
300
JulAugSepOctNovDecJanFebMarAprMayJun
$/MWh
MERIDIAN'S AVERAGE GENERATION PRICE*
FY22FY21

Australian retail
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |8
▪Powershop Australia electricity customer
connection numbers rose 0.4% during
August 2021 and have decreased 0.2%
since June 2021
▪Electricity sales volumes in August 2021
were 0.9% higher than the same month
last year
▪To date this financial year, electricity sales
volumes are 5.2% higher than the same
period last year
▪Powershop Australia gas customer
connection numbers rose 1.2% during
August 2021 and have risen 2.0% since
June 2021
▪Gas sales volumes in August 2021 were
6.7% lower than the same month last year
▪To date this financial year, gas sales
volumes are 4.9% lower than the same
period last year
Meridian operating information
Source: Meridian
Source: Meridian
93
84
85
83
66
61
55
56
57
53
58
59
72
81
0
10
20
30
40
50
60
70
80
90
100
JulAugSepOctNovDecJanFebMarAprMayJun
GWh
AUSTRALIAN RETAIL ELECTRICITY SALES VOLUMES
FY22FY21
302
261
312
280
157
142
52
48
31
31
42
116
213
287
0
50
100
150
200
250
300
350
JulAugSepOctNovDecJanFebMarAprMayJun
TJ
AUSTRALIAN RETAIL GAS SALES VOLUMES
FY22FY21

Australian generation
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |9
▪Meridian’s Australian generation in August 2021
was 19.6% 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 63.3% higher than the same
period last year, reflecting higher wind and
higher hydro generation
▪Storage at Meridian’s Hume hydro power
station increased to 99% of capacity by 10
September 2021
▪NEM
1
electricity demand in August 2021 was
9.0% higher than the same month last year
▪Following elevated prices in June and July,
August 2021 saw a moderation in spot prices
driven by seasonally lower demand, better
generation availability and the impact of COVID-
19 lockdowns in NSW and Victoria. Forward
prices fell 4% compared to the previous month
Meridian operating information
Source: Meridian
1
See glossary on page 17 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 included market to market losses of A$3M
Source: Meridian
68
54
16
23
34
60
57
44
41
43
39
31
27
30
48
49
0
4
14
12
41
40
41
24
24
28
5
3
0
10
20
30
40
50
60
70
80
90
JulAugSepOctNovDecJanFebMarAprMayJun
GWh
MERIDIAN'S AUSTRALIAN GENERATION
FY22 WindFY22 HydroFY21 WindFY21 Hydro
93
64
90
90
70
68
75
55
53
-54
59
63
75
100
-100
-50
0
50
100
150
JulAugSepOctNovDecJanFebMarAprMayJun
$A/MWh
AVERAGE WIND GENERATION PRICE
2
FY22FY21

AUGUST
AUGUST
JULY
JUNE
2 MONTHS
2 MONTHS
2021
2020
2021
2021
TO AUGUST
TO AUGUST
MONTH
MONTH
MONTH
MONTH
2021
2020
New Zealand contracted sales
Residential sales volume (GWh)
195


171


205


174


400


357


Small medium business sales volume (GWh)
127


107


149


134


276


220


Agricultural sales volume (GWh)
68


72


51


43


119


119


Large business sales volume (GWh)
47


52


49


45


96


107


Corporate and industrial sales volume (GWh)
322


275


321


319


643


557


Retail contracted sales volume (GWh)
759


677


776


715


1,536


1,360


Average retail contracted sales price ($NZ/MWh)
$124.0
$119.3
$122.6
$118.9
$123.3
$119.8
NZAS sales volume (GWh)
426


426


426


412


851


851


Financial contract sales volumes (GWh)
297


125


197


129


494


312


Average wholesale & financial contracts sales price ($NZ/MWh)
$78.4
$70.4
$73.2
$74.1
$76.0
$76.5
Retail customer supply volumes (GWh)
795


717


816


753


1,611


1,421


Cost to supply retail customers ($NZ/MWh)
$165.3
$120.6
$190.3
$272.2
$178.0
$142.7
Cost to supply wholesale customers ($NZ/MWh)
$115.9
$109.6
$162.7
$242.5
$139.3
$126.7
Cost of financial contracts ($NZ/MWh)
$137.5
$113.1
$159.9
$228.2
$146.4
$131.5
Total New Zealand customer connections
353,357


327,125


459,752


346,830


New Zealand
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |10
Meridian operating information

AUGUST
AUGUST
JULY
JUNE
2 MONTHS
2 MONTHS
2021
2020
2021
2021
TO AUGUST
TO AUGUST
MONTH
MONTH
MONTH
MONTH
2021
2020
New Zealand generation
Hydro generation volume (GWh)
1,020


904


1,000


903


2,020


1,879


Wind generation volume (GWh)
129


113


105


111


234


228


Total generation volume (GWh)
1,149


1,017


1,105


1,015


2,254


2,107


Average generation price ($NZ/MWh)
$136.1
$110.1
$166.2
$247.5
$150.9
$127.9
New Zealand hedging
Hedging volume (GWh)
325


266


394


360


720


584


Hedging cost average price ($NZ/MWh)
$121.5
$104.6
$129.6
$119.0
$125.9
$107.2
Hedging spot revenue average price ($NZ/MWh)
$140.7
$123.8
$164.1
$237.6
$153.5
$129.0
Future contract close outs ($NZm)
$0.1
-$1.9
-$0.7
$9.7
-$0.7
-$3.5
New Zealand
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |11
Meridian operating information

Australia
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |12
Meridian operating information
AUGUST
2021
MONTH
AUGUST
2020
MONTH
JULY
2021
MONTH
JUNE
2021
MONTH
2 MONTHS
TO AUGUST
2021
2 MONTHS
TO AUGUST
2020
Australian contracted sales
Retail contracted electricity sales volume (GWh)84839381176167
Average electricity contractedsales price
1
($A/MWh)$86.4$137.7$150.9$130.3$120.4$140.7
Retail contracted gas sales volume (TJ)261280302287563591
Average gas contractedsales price
1
($A/GJ)$15.9$11.5$19.1$14.4$17.7$13.2
Financial contract sales volumes
2
(GWh)223322174560
Financial contractedsales average price ($A/MWh)$47.9$65.7$47.9$49.8$47.9$66.5
Cost to supplyelectricity customers ($A/MWh)$82.0$85.5$152.6$187.1$119.2$82.7
Cost to supplygas customers ($A/GJ)$12.0$11.3$13.5$10.5$12.8$10.7
Cost of financial contracts ($A/MWh)$50.8$53.5$102.7$118.4$76.7$54.9
Powershop electricity customer connections
7
141,723137,530141,149142,029
Powershop gas customer connections
8
44,80538,97844,27243,905

Australia
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |13
Meridian operating information
AUGUST
2021
MONTH
AUGUST
2020
MONTH
JULY
2021
MONTH
JUNE
2021
MONTH
2 MONTHS
TO AUGUST
2021
2 MONTHS
TO AUGUST
2020
Australian generation
Wind generation volumes (GWh)5460684912395
Average wind generationprice
5
($A/MWh)$64.0$90.4$92.6$100.3$79.9$90.4
Hydro generation volumes (GWh)234163394
Average hydro generationprice
5
($A/MWh)$83.6$51.7$152.5$124.2$112.2$51.7
PPA generation received (GWh)363741317765
Average PPA generationprice [net of costs] ($A/MWh)$3.4-$3.4$30.9$39.8$18.0-$2.6
Australian hedging
Hedging volume
6
(GWh)404233307377
Hedging costs ($A/MWh)$92.1$78.3$87.2$71.5$89.9$64.8
Hedging spot revenue average price ($A/MWh)$83.6$55.8$159.4$230.9$117.6$39.0
Future contract close outs ($Am)$0.0$0.0$0.0$0.0$0.0-$0.2

Meridian group
1 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |14
Meridian operating information
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
AUGUST
2021
MONTH
AUGUST
2020
MONTH
JULY
2021
MONTH
JUNE
2021
MONTH
2 MONTHS
TO AUGUST
2021
2 MONTHS
TO AUGUST
2020
Meridian Group
Employee and Operating Costs
9
($m)222120304242
Stay in Business Capital Expenditure ($m)3431166
Investment Capital Expenditure ($m)53941410
Total Capital Expenditure ($m)8712152016

JulAugSepOctNovDecJanFebMarAprMayJunQ1YoYQ2YoYQ3YoYQ4YoY
202120212021202120212021202220222022202220222022FY22changeFY22changeFY22changeFY22change
New Zealand contracted sales
Residential sales volume (GWh)205195
Small medium business sales volume (GWh)149127
Agricultural sales volume (GWh)5168
Large business sales volume (GWh)4947
Corporate and industrial sales volume (GWh)321322
Retail contracted sales volume (GWh)776759
Average retail contracted sales price ($NZ/MWh)$122.6$124.0
NZAS sales volume (GWh)426426
Financial contract sales volumes (GWh)197297
Average wholesale & financial contracts sales price ($NZ/MWh)$73.2$78.4
Retail customer supply volumes (GWh)816795
Cost to supply retail customers ($NZ/MWh)$190.3$165.3
Cost to supply wholesale customers ($NZ/MWh)$162.7$115.9
Cost of financial contracts ($NZ/MWh)$159.9$137.5
Total New Zealand customer connections350,961353,357
New Zealand generation
Hydro generation volume (GWh)1,0001,020
Wind generation volume (GWh)105129
Total generation volume (GWh)1,1051,149
Average generation price ($NZ/MWh)$166.2$136.1
New Zealand hedging
Hedging volume (GWh)394325
Hedging cost average price ($NZ/MWh)$129.6$121.5
Hedging spot revenue average price ($NZ/MWh)$164.1$140.7
Future contract close outs ($NZm)-0.70.1
Australia contracted sales
Retail contracted electricity sales volume (GWh)9384
Average electricity contracted sales price
1
($A/MWh)$150.9$86.4
Retail contracted gas sales volume (TJ)302261
Average gas contracted sales price
1
($A/GJ)$19.1$15.9
Financial contract sales volumes
2
(GWh)2222
Financial contracted sales average price ($A/MWh)$47.9$47.9
Cost to supply electricity customers ($A/MWh)$152.6$82.0
Cost to supply gas customers ($A/GJ)$13.5$12.0
Cost of financial contracts ($A/MWh)$102.7$50.8
Powershop electricity customer connections
7
141,149141,723
Powershop gas customer connections
8
44,27244,805
Australia generation
Wind generation volume (GWh)6854
Average wind generation price ($A/MWh)$92.6$64.0
Hydro generation volume (GWh)1623
Average hydro generation price ($A/MWh)$152.5$83.6
PPA generation received (GWh)4136
Average PPA generation price [net of costs] ($A/MWh)$30.9$3.4
Australia hedging
Hedging volume (GWh)3340
Hedging costs ($A/MWh)$87.2$92.1
Hedging spot revenue average price ($A/MWh)$159.4$83.6
Future contract close outs ($A M)$0.0$0.0
Meridian Group
Employee and Operating Costs ($NZ m)2022
Stay in Business Capital Expenditure ($NZ m)33
Investment Capital Expenditure ($NZ m)95
Total Capital Expenditure ($NZ m)128
FY22 operating information
151 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |
Meridian operating information

JulAugSepOctNovDecJanFebMarAprMayJunQ1YoYQ2YoYQ3YoYQ4YoY
202020202020202020202020202120212021202120212021FY21changeFY21changeFY21changeFY21change
New Zealand contracted sales
Residential sales volume (GWh)18617114612711110710193108121160174503+31345+16302+2455 +9
Small medium business sales volume (GWh)11310710510496999693111109126134325+34299+44300+39369 +130
Agricultural sales volume (GWh)4772871571421701541771451166643205+22469+60476-18226 +46
Large business sales volume (GWh)555248464444444640374445155+26134+14130+12126 +7
Corporate and industrial sales volume (GWh)282275272283284287288311334311339319829+93855+117933+127968 +215
Retail contracted sales volume (GWh)6836776577176787076837217386947367152,017+2062,102+2522,141+1632,144 +408
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$114.7$123.2$118.9$119.3+$6.3$104.5+$3.6$106.8-$0.1$119.0+$8.0
NZAS sales volume (GWh)4264264114264124264263844264124264121,262-1101,263-1101,236-1231,250 -77
Financial contract sales volumes (GWh)188125201126221140144126197167143129514+40487+59467-339439 -380
Average wholesale & financial contracts sales price ($NZ/MWh)$82.0$70.4$74.2$69.4$69.9$66.8$59.6$58.0$69.8$76.8$75.2$74.1$75.7+$6.0$68.7+$3.9$62.9-$4.4$75.4+$9.8
Retail customer supply volumes (GWh)7047176967557177437197577687187827532,117+2292,215+2742,244+1632,253 +432
Cost to supply retail customers ($NZ/MWh)$165.1$120.6$140.3$126.9$101.0$118.8$143.9$256.7$265.1$285.5$301.9$272.2$141.9+$16.8$115.8+$16.6$223.4+$146.1$286.7+$178.7
Cost to supply wholesale customers ($NZ/MWh)$143.8$109.6$122.2$95.8$76.3$109.2$132.6$244.8$260.3$277.8$274.2$242.5$125.2+$10.5$94.0+$9.5$211.5+$158.5$264.9+$162.2
Cost of financial contracts ($NZ/MWh)$143.7$113.1$127.8$110.8$92.3$119.1$139.1$234.0$204.8$266.4$291.8$228.2$130.0+$16.3$104.7+$10.2$192.5+$137.7$263.5+$166.4
Total New Zealand customer connections326,148327,125328,602329,710331,240332,587333,367335,580338,051340,178343,015346,830328,602+19,230332,587+18,988338,051+18,273346,830 +22,577
New Zealand generation
Hydro generation volume (GWh)9759048791,0661,0541,0348748689748679009032,758-4743,153-222,716-5422,670 -423
Wind generation volume (GWh)1151131581261251281178387116116111385+8379-22287-52344 -4
Total generation volume (GWh)1,0891,0171,0371,1921,1791,1629919511,0619831,0161,0153,144-4663,533-443,003-5933,014 -427
Average generation price ($NZ/MWh)$144.5$110.1$123.7$107.7$86.5$109.3$134.5$242.1$253.8$272.5$283.4$247.5$126.5+$11.5$101.2+$13.8$210.7+$153.0$267.8+$171.5
New Zealand hedging
Hedging volume (GWh)318266268241314308312345431348372360852+436863+3891,088+231,079 +305
Hedging cost average price ($NZ/MWh)$109.3$104.6$101.2$96.2$93.6$93.2$98.5$115.6$127.0$110.3$116.7$119.0$105.3+$41.8$94.2+$28.9$115.2+$13.5$115.4+$35.9
Hedging spot revenue average price ($NZ/MWh)$133.4$123.8$132.6$114.4$94.0$121.9$136.8$235.0$219.0$260.2$285.0$237.6$130.2+$10.9$109.7+$15.6$358.8+$282.9$261.2+$161.3
Future contract close outs ($NZm)-1.6-1.9-2.90.6-2.9-1.3-1.5-4.5-3.6-1.6-2.19.7-6.4-4.2-3.7-1.1-9.7-9.1$6.0$14.6
Australia contracted sales
Retail contracted electricity sales volume (GWh)858366615556575358597281234+49171+26168+13212+13
Average electricity contracted sales price
1
($A/MWh)$142.7$137.7$146.3$140.0$144.9$132.2$131.8$129.7$124.1$127.2$132.7$130.3$142.2-$1.0$139.0-$28.5$128.5-$12.2$130.2-$9.4
Retail contracted gas sales volume (TJ)3122801571425248313142116213287749+210242+8104-7616+8
Average gas contracted sales price
1
($A/GJ)$14.7$11.5$12.0$15.5$22.2$23.3$29.8$28.0$24.2$13.0$14.8$14.4$12.9-$0.8$18.5+$1.9$27.0+$4.2$14.3+$0.6
Financial contract sales volumes
2
(GWh)26332942414042384217171788-69124-73121-1450+5
Financial contracted sales average price ($A/MWh)$67.6$65.7$66.5$66.8$66.8$66.4$86.4$86.4$86.4$49.8$49.8$49.8$66.5-$20.1$66.7-$13.1$86.4-$35.6$49.8-$36.2
Cost to supply electricity customers ($A/MWh)$79.5$85.5$61.3$73.1$77.5$20.8$53.2$48.0$56.8$76.7$147.6$187.1$76.6-$40.2$57.5-$39.6$52.8-$87.2$143.0+$74.6
Cost to supply gas customers ($A/GJ)$10.1$11.3$14.6$13.4$12.7$19.9$22.8$17.7$17.8$10.7$11.3$10.5$11.5+$0.5$14.5+$4.2$19.3-$2.0$10.8-$1.0
Cost of financial contracts ($A/MWh)$56.7$53.5$37.0$52.2$54.4$50.0$33.2$30.2$39.1$52.8$92.3$118.4$49.1-$48.1$52.2-$23.2$34.3-$45.2$87.9+$36.8
Powershop electricity customer connections
7
136,696137,530138,289139,162140,346140,965141,203141,643141,998142,086142,470142,029138,289+23,190140,965+16,297141,998+7,599142,029+5,827
Powershop gas customer connections
8
38,54438,97839,25139,54040,38040,81441,24741,88442,72843,09243,70743,90539,251+12,72240,814+10,34942,728+7,33643,905+6,027
Australia generation
Wind generation volume (GWh)346057444143393127304849151-10127-297-11126-4
Average wind generation price ($A/MWh)$90.3$90.4$69.6$67.8$75.0$54.8$52.7-$54.4$58.9$63.2$75.3$100.3$82.6-$39.4$65.7-$47.1$20.4-$224.6$82.1+$18.0
Hydro generation volume (GWh)0414124140412424285319-1194+4689+5836+31
Average hydro generation price ($A/MWh)-$51.7$39.0$59.0$72.6$86.3$37.6$33.3$43.7$68.2$65.1$124.2$41.9-$56.3$75.3-$2.4$38.0-$57.3$72.7+$32.3
PPA generation received (GWh)27373430272928242525303198-586-478-986-5
Average PPA generation price [net of costs] ($A/MWh)-$1.6-$3.4-$14.4-$2.2-$1.1-$10.7-$15.8-$18.2-$13.4$0.6$19.2$39.8-$6.7-$37.0-$4.7-$28.2-$15.8-$32.7$21.2+$33.6
Australia hedging
Hedging volume (GWh)35423713201691513233830115+449-9937-8892-26
Hedging costs ($A/MWh)$48.4$78.3$82.6$204.9$176.2$99.7$482.6$266.8$266.6$180.3$62.4$71.5$70.6-$26.7$157.9+$56.7$319.2+$194.4$95.0+$28.1
Hedging spot revenue average price ($A/MWh)$18.6$55.8$40.6$149.6$71.6$69.7$109.7$82.2$50.4$186.2$156.6$230.9$39.5-$66.0$91.3+$11.7$77.9-$2.2$188.5+$143.6
Future contract close outs ($A M)-$0.2$0.0$0.0$0.0$0.0$0.0-$0.3-$0.7$0.0$0.0-$0.1$0.0-$0.3-$0.4-$0.1-$0.7-$0.9-$1.2-$0.1-$1.7
Meridian Group
Employee and Operating Costs ($NZ m)21212121222118212222243063-264+261-176+6
Stay in Business Capital Expenditure ($NZ m)34443333444611+010-210-014+2
Investment Capital Expenditure ($NZ m)733223233445413+87+339+3413+8
Total Capital Expenditure ($NZ m)10776565638891024+817+149+3427+10
FY21 operating information
161 6 S E P T E M B E R 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 A U G U S T 2 0 2 1 |
Meridian operating information

Glossary
171 6 S E P T E M B E R 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 A U G U S T 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