Tauhara - we have lift off

Saturday, 23 November 2024

Contact Energy’s almost billion dollar Tauhara geothermal power station is up and running with Prime Minister Christopher Luxon describing the project as “inspiring”.

Luxon, who was joined by Taupō MP Louise Upston, was invited to officially open the power station near Taupō on Friday. It will provide 3.5% of the country’s electricity, enough to power 200,000 homes.

At full capacity, Tauhara is expected to generate 174MW of electricity and displace up to 500,000 tonnes of CO2 emissions a year, the equivalent of removing 220,000 petrol-powered cars from our roads.

Luxon paid tribute to local iwi Tūwharetoa, on whose land the power station has been built, and said the project was a fantastic investment for all New Zealanders, as well as a shining example of collaboration with its Japanese partners Fuji Electric and Sumitomo Electric.

“Our expertise in this renewable energy is well acknowledged all around the world … it’s great Kiwi ingenuity and innovation at its best .. and it’s very inspiring.

“There’s no reason why New Zealand should have an energy security problem or challenge whatsoever,” Luxon said.

“We live in a place where we are blessed to have abundant natural resources - whether it be wind or solar or hydro or geothermal, we are incredibly fortunate.”

Luxon said 22 more renewable electricity projects were being assessed under fast track legislation across the country, and in terms of lowering electricity costs for households, “it would depend on how fast we can turn on more supply in New Zealand”.

Contact chief executive Mike Fuge said the opening of the country’s newest geothermal power station was a watershed moment for Contact, and for the decarbonisation of the country.

“It’s a red-letter day for New Zealand’s transition to a renewable energy future and a welcome addition to the country’s energy supply,” he said.

“Our new geothermal power station at Tauhara, demonstrates Contact’s continued ability to invest, build and deliver world-class assets for the benefit of all New Zealanders.

“Geothermal energy plays a crucial role in creating a reliable supply of electricity.

“It’s also where New Zealand leads the way with technology and ingenuity, so it’s exciting to expand our fleet of geothermal assets as well as to have two more geothermal power stations on the way.”

Fuge said geothermal energy made for a reliable supply of electricity and was not reliant on wind, rain, or sunshine to generate power.

He said the power station took a remarkable three and a half years to build, which equates to 2.65 million work hours put in by 4,001 people.

Earlier this week, Contact also announced it would begin building a replacement for the ageing Wairākei geothermal power station and had committed to invest over $1.9 billion into new geothermal power stations.

Last month, Contact’s Te Huka 3 power station located just down the road from Tauhara, underwent three weeks of testing and was plugged into the national grid for the first time while it was put through its paces.

With everything working smoothly and at full capacity, Te Huka 3 will produce 51.4MW of electricity - enough renewable energy to power the equivalent of 60,000 homes.

Fuge said Te Mihi Stage 2, which will have a generation capacity of 101MW, will be the first step in replacing Contact’s 1950s-built Wairākei geothermal power station and is due to come online by late 2027.

Taupō mayor David Trewavas said the project had been hugely beneficial to the town’s growing economy, creating about 500 jobs at the peak of construction and is believed to have contributed an additional $230m to the local economy.

“We are very appreciative of Contact’s investment, and also of the potential projects coming up, which are fantastic.

“The people who work on these facilities are not on minimum wage and many of them live in Taupō and Tūrangi and surrounding districts, and those benefits reach far and wide.”