The possible sale of Dunedin’s Aurora Energy company is gaining attention in Australia.
The electricity network was described in The Australian newspaper as one of the most lucrative Kiwi assets "up for grabs", catching the eye of Australian infrastructure investors.
It was implied the network was for sale and potentially worth $1.5 billion.
Dunedin City Council has yet to decide whether to put the company on the market.
A decision is due this month.
A city council spokesman said the article in The Australian was wrong and a correction was sought.
It is evident from documentation Dunedin City Holdings Ltd (DCHL) believes the company can sell for at least $1b.
Aurora is part of the council’s DCHL group of companies.
It delivers electricity to more than 200,000 residents in Dunedin, Central Otago, Wānaka and Queenstown.
A proposal was put in front of the public in March to sell Aurora, repay company debt and establish a diversified investment fund to generate income for the council.
The alternative option of keeping the company was backed by the vast majority of people who were part of a public submissions process.
One argument for retaining the company was potential for the asset to increase in value in the years ahead.
A hearing in May was followed by DCHL and council workshops.
The council ran a workshop that was closed to the public on September 2.
It was "mainly in relation to financial modelling, although there was a small component relating specifically to Aurora", a council spokesman said.
