Genesis Energy chairwoman Barbara Chapman says the power generator and retailer is reviewing its options after majority owner the Government said it was open to capital raisings.

Chapman said in speech notes for today’s annual meeting that Genesis had received a letter from the Minister of Finance, Nicola Willis, clarifying the Government’s position after the release of the Frontier Economics report on October 1.

In 2023, Genesis released its “Gen35″ strategy, which will involve investing $1.1 billion in renewables by 2035.

“Gen35 is very much aligned to the Government’s objectives and the board is now looking at ways we can accelerate delivery of our strategy to further support those objectives,” Chapman told the annual meeting.

The Frontier report said the mixed ownership model (MOM) companies - Genesis, Meridian and Mercury - faced constraints in their ability to invest in larger generation projects because of a perception that the Government would not provide equity injections to support those investments.

But Willis said the Government was prepared to support capital funding requests from each of its majority-owned companies.

Chapman said it was “good to have clarity” on the Government’s willingness to participate in potential equity raisings that may be required to support energy security and affordability objectives.

“We are currently reviewing all our options, including potential additional equity requirements, and will do what’s necessary and appropriate to support the execution of our strategy at the relevant time,” she said.

In a review of the year, Chapman acknowledged that recent price increases had been felt by its customers.

“We are doing all we can to minimise these, however around 60% of the 2025 price rises were driven by increases in regulated power line charges, which we pass through on behalf of the lines companies,” she said.

There were further lines-charge increases from the lines companies still to come, and these will impact customer price rises over the next few years.

Looking ahead, Genesis expects its normalised earnings before interest, tax, depreciation, amortisation, and financial instruments to be between $455 million and $485m in the current 2026 financial year.

Chief executive Malcolm Johns said Gen35 was well aligned to the objectives set out in the Government’s announcements.

“There is opportunity for Genesis in the Government’s announcements, and we are now actively reviewing how we can deliver our strategy faster and more impactfully,” he said.

“The Government announcements do come with processes that will play out over several months and, as these play out, we will gain greater clarity on the benefits that might arise,” he said.

Genesis’s Huntly Power Station, which backs up the hydro and wind-dominated national grid, had around 1.1 million tonnes of coal on site – 600,000 tonnes for the reserve stockpile and around 500,000 tonnes for its operational stockpile.