Govt renewables target a “long shot”

14 March 2007

Govt renewables target a “long shot” under current policy

New Zealand Wind Energy Association (NZWEA) chief executive Fraser Clark today said it could take 20 years for wind energy to meet its potential in New Zealand if the current Government policy remains in place.

Under its draft Energy Strategy, the Government has set a goal that all new electricity generation be renewable. The policy is pivotal to lowering the country’s carbon emissions. An ECCA report suggests wind energy could supply the country with up to 20% of its total electricity needs.

NZWEA CEO Fraser Clark said the Government’s goal of being truly sustainable was a long shot if current Government policy did not change to allow projects to go ahead more quickly.

“There’s no point talking up New Zealand’s renewable energy potential if you don’t do anything to make it a reality. Unfortunately, the Government’s draft Energy Strategy contains little information about real actions or processes that will speed up wind energy projects.

“There are no new wind projects slated to start construction for at least two years.

“At this rate, it’ll be 20 years before our growth gets anywhere near the rest of the world,” Mr Clark said.

Despite having a world class wind resource, currently only 2% of New Zealand’s electricity is generated by wind. Meanwhile, wind generation capacity in other developed nations is increasing by up to 35%.

Fraser Clark said the low growth was due to lack of clear Government policy and target setting for renewable energy, as well as practical issues such as transmission capacity, consistent consenting processes and New Zealand’s “nimby” (not in my backyard) attitude.

Henning Kruse, Sales Manager for Siemens, one of the largest international turbine manufacturers, told delegates at the conference the company was expecting up to 15% growth per annum in wind energy markets such as Europe, America and Asia.

Mr Kruse said New Zealand was an “interesting market” for his company, but the industry needed more policy stability before significant investment could be made here.

Globally wind energy is growing somewhere between 25-35% per year, creating extensive demand for turbines and other infrastructure.

“There are challenges ahead if New Zealand is to meet the Government’s goals of becoming truly sustainable but the wind industry is ready to embrace those challenges,” Mr Clark said.

“Wind energy can make a significant contribution to future electricity generation in this country – but not without some serious changes to how we do things.

“What we need from Government – and New Zealand as a whole is

- Consistent and clear guidelines for local authorities that create national benchmarks in consenting processes.
- Greater emphasis on the “national good” of wind farm projects to improve public support.
- Real actions such as set targets or quotas that support renewable energy resource projects.

Also speaking to the conference, Meridian Energy’s wind development manager Adam Muldoon said establishing a wind farm project in New Zealand was “a bit like a game of snakes and ladders”.

“Often its one step forward and two steps backwards.”

Installed capacity of wind turbines in New Zealand has now reached 170 MW. A further 151 MW is under construction in Southland and the Manawatu, nearly doubling capacity to 321 MW – enough electricity to supply over 140,000 typical households.

The Wind Energy Association is meeting in Wellington for its annual two-day conference.

ENDS

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