Genesis boss defends gentailer model amid break-up push
Genesis Energy's CEO has defended the company's 'gentailer' model while acknowledging that costs for a proposed government-backed LNG terminal will likely be passed on to consumers. The company faces ongoing political pressure to separate its generation and retail arms.
Why it matters
The debate over energy market structure and the cost of infrastructure projects directly impacts household power bills and national energy policy.
<p>The head of Genesis Energy says he cannot yet tell Kiwis how much a new billion-dollar liquefied natural gas (LNG) import terminal will add to their power bills, but suggested households will ultimately play a part in paying for it.</p> <p>The Government wants to sign a contract for the terminal – a facility which can receive, store, and regasify liquefied natural gas to be 'sent out' into the transmission network – before the end of this parliamentary term, funded through a user-pays model.</p> <p>Speaking to Q+A, chief executive Malcolm Johns was asked repeatedly how much bills would rise once the terminal was built and Genesis was buying LNG.</p> <p>"It's not an answer I can give you right now," Johns said, asked about a specific price rise.</p> <p>"Ultimately, that procurement process belongs to the Government, and you really need to be speaking to them about that procurement process."</p> <p>But he suggested…
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