New Zealand winter blackout risk eases as solar and geothermal capacity climbs
Contact Energy's chief executive said the risk of New Zealand running short of power this winter has 'moved downwards' thanks to added solar capacity from summer and extra baseload from geothermal plants. The shift takes pressure off the country's hydro-dependent grid.
Contact Energy's chief executive told RNZ that the risk of New Zealand running short of power this winter has 'moved downwards' thanks to the rapid build-out of solar capacity over the summer and additional baseload from geothermal plants. The shift takes some pressure off the country's hydro-dependent national grid.
New Zealand's electricity system has long been strained in 'dry year' periods when hydro lake levels fall. According to RNZ's report, Contact says its expanded geothermal fleet and a wave of large-scale solar projects will help reduce hydro dependence over the next few years. The company also expects the system's need for gas and coal back-up generation to ease gradually.
The news is being read as a relief signal in a New Zealand energy market that has been hit by fuel-price spikes and broader uncertainty from the Iran war over the past six months. Government incentives for renewables and accelerated consenting are also seen as key contributors to the brighter outlook.
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