Latest / The Kākā by Bernard Hickey
Mini-Hoon: 'Why don't we buy back the shares?'
On the eve of the Government’s big electricity market reform announcement this morning, I chatted in a ‘pop-up’ ‘Mini-Hoon’ with CTU Economist Craig Renney about a CTU proposal for the Government to use the gentailers’ dividends to buy back the privately-held shares in the 51% state-owned Meridian, Mercury and Genesis, if they chose not to build much more power generation capacity to stop rampant inflation.
Craig argues the gentailers chose to generate cash for dividends rather than invest in new renewable capacity for over a decade, which contributed to a sharp spike in prices and is causing…
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