Tiwai smelter to close

[harm_less]

Why do people think electricity will be cheaper? The power company will be looking to replace lost revenue when Tiwai closes, electricity will go up to cover those losses. They've already alluded to higher power prices.

Excess generation will result so in theory the laws of supply and demand should result in cheaper power. Its not as though the generating companies can store the excess for later use, though this may well become possible if the Lake Onslow pumped hydro project becomes reality, but then of course that project needs to be paid for so electricity prices may well rise for that reason.