Carbon cost could prove downfall for Huntly

Genesis Energy is worried carbon cost could price the electricity provider's coal and gas fired Huntly plant out of the market.

This was revealed by the company's general manager corporate Affairs, Malcolm Alexander, at a briefing in Auckland.

Mr Alexander said Genesis Energy is preparing its own paper on carbon emission trading as part of its submission to the Government's Energy Strategy.

He said he does not want to see any sweetheart deals that will allow companies to reap profits at the expense of others.

Mr Alexander added that the Government's renewable energy scenario is not a realistic view of the future. He said Genesis has significant reservations about meeting the increasing electricity demands of the the North Island.

- NEWSTALK ZB