Wednesday, November 07, 2007



More wind

Trustpower has applied for resource consent for a 240MW windfarm at Kaiwera Downs near Gore. This is interesting for two reasons - firstly, Otago is shaping up to become the wind generation capital of New Zealand, with over a GW of generating capacity already consented or seeking consent. This is partly driven by the demand from Tiwai Point aluminium smelter and the desire to insulate against dry weather, but it is going to pose problems for the national grid - in particular for the aging Cook Strait Cable. Unless this is properly upgraded we may very well find ourselves with electricity surpluses in the South Island and shortages up north. Unfortunately, Transpower seems intent on dumping the entire cost of the cable on South Island generators, despite the fact that traffic now goes both ways throughout the year. Secondly, Trustpower is massively expanding its wind portfolio; they've barely finished Tararua 3, they've only just had Mahinerangi consented, and they're already planning another one. Our power companies seem to be very much getting behind the push to renewables, and it doesn't look like there'll be any problem meeting that 2025 target.