Wednesday, May 09, 2007

Bruce McKay on Lines Companies

This guy proves the old cliche of try try again.
Of course, you could go the route and argue that true incompetence is the ability to think that doubling your efforts can overcome any lack of talent.
Here he is waxing lyrical on lines companies and why they shouldn't be interested in energy generation.
Vector is a lines company and as such is not meant to buy into electricity generation and retailing.
Well that's obviously rubbish. There are plenty of reasons why Vector might want to put some generation at strategic points in it's network. It's subtle but it's worth millions in stranded asset risk.

It's galling but he's right about the wind part though. There's not much point for Vector to want wind generation since they can't turn it on and off as it's needed to streamline the energy flows. Right answer through faulty reasoning.


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