TrustPower Welcomes Mahinerangi Wind Farm Decision

Media Statement from TrustPower Limited
1 October 2007

TrustPower Welcomes Mahinerangi Wind Farm Decision

TrustPower has welcomed the Resource Consent application decision, giving its Mahinerangi Wind Farm the green light.

Chief Executive Keith Tempest says TrustPower will now wait until the appeal period is over, before reviewing the business case for the project and then progressing with detailed design.

“Wind farm construction is very dependent upon windows of opportunity, where things like exchange rate, turbine price and turbine availability all have to coincide, and until legislation is passed, there remains some uncertainty regarding the application of the proposed carbon trading regime. In addition, South Island projects such as this have the additional burden of having to overcome the hurdle of HVDC or Cook Strait cable charges, even although they are intended primarily to supply electricity to the local region.”

TrustPower’s proposed 200 MW Mahinerangi Wind Farm, which could ultimately supply enough electricity for 100,000 homes, is expected to be built in stages.

Due to its location adjacent to the lake supplying TrustPower’s four-station Waipori hydro scheme, the wind farm will allow TrustPower to make best use of both the wind and hydro resources. Because it will feed directly into existing line connected to Dunedin’s Halfway Bush substation, it will improve efficiency and security of supply, and free up electricity currently imported into Dunedin from Roxburgh and the Waitaki system for use elsewhere.

The total cost of the 200MW wind farm is expected to exceed NZ$400 million.

ENDS

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