A $1 billion investment in developing geothermal generation is paying off for Mighty River Power, which bucked the trend among power companies and lifted earnings amid low wholesale power prices and flat demand.
The State-owned electricity generator and retailer made $127.1 million in the year to June, an increase of 50% compared with the previous year.
While hydro contributes two-thirds of Mighty River's generation, chief executive Doug Heffernan says the contribution from geothermal is set to rise after the $466 million Ngatamariki station near Taupo is built in 2013.
Operating earnings rose 35% to $443 million.
