He told EnergyReview.Net that Todd Energy selling its FreshStart subsidiary to Genesis Power earlier this week did not include the sale of any electricity generation facilities or gas assets.

Todd Energy and its subsidiary or associate companies, such as Bay of Plenty Energy and King Country Energy, were keeping their small cogeneration, hydro and geothermal power stations. Todd Energy would also still be very much involved in gas and LPG trading.

The decision to exit from the retail gas and electricity markets was made for a number of reasons, one of which was Fresh Start's inability to secure satisfactory long-term electricity hedge contracts.

Tweedie said the jointly-owned Todd Energy-Fonterra 69MW cogeneration plant in south Taranaki, the BOPE-NGC 25MW plant further north, and the 10MW BOPE-Anchor Products facilities at Edgecombe in the Bay of Plenty were all useful facilities, as was the small Kawerau geothermal plant.

The 38MW Mangahao, 25MW Aniwhenua and other small hydro schemes scattered around the mid-North Island, gave Todd and its partners the ability to offer "embedded" electricity to medium-sized businesses in those districts.

Todd Energy would also continue its heavy involvement in the oil and gas exploration and associated sectors.

Genesis is to purchase FreshStart, and its 22,000 customers in the Wellington region and lower North Island, effective from June 1. Details of the confidential deal were not revealed.