Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Contact Energy Signs Deal For Ngawha Power

Contact Energy Signs Deal For Ngawha Power

Local network company Top Energy and electricity retailer Contact Energy have signed a new agreement that will assist Contact to better manage the electricity needs of its Northland customers, using locally generated geothermal power.

The deal secures Contact Energy’s rights to buy all electricity generated at Top Energy’s Ngawha power station for the next three years and includes a right of renewal option for a further two-year period.

There are plans to almost triple the Ngawha station’s output and Contact has the right to buy the additional power.

Contact Energy retails electricity to around 90 percent of Northland power consumers, who are connected to Top Energy’s lines network.

Contact Energy Key Account Manager Bryce Croom says that the Ngawha plant improves Contact’s capacity to manage transmission system constraints that can affect the region.

“Supply to Northland is sometimes affected by transmission constraints as electricity is distributed from farther afield on the national grid. Because Northland is at one end of the national grid, quality and security of supply can be disrupted.

“As the main local retailer, our agreement to purchase all the electricity generated locally at the Ngawha geothermal station improves our capacity to manage such issues in the best interests of our customers.”

Top Energy’s Ngawha Power Station currently generates around nine megawatts of electricity, producing about 35 percent of the total electricity used by consumers in the Northland region.

Top Energy Chief Executive Roger de Bray says “Our agreement with Contact Energy gives us the security of guaranteed earnings up to five years out. When you consider this in the context of an uncertain environment for power generation and fluctuations in demand and pricing, this is a very significant contract for Top Energy and the Far North”.

The contract also provides Top Energy with the commercial basis for an expansion of the generation capacity of the power station. The company has recently lodged an application under the Resource Management Act to have its existing Ngawha geothermal field consent term extended and to increase the generation capacity of the power station to approximately 25 megawatts.

Contact Energy’s agreement with Top Energy includes the right to purchase additional output from an expanded Ngawha Power Station. When running at full capacity, the enlarged local plant could see around 70 percent of all electricity consumed in the region being supplied locally.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news