Cheaper electricity for Chatham Islands

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Source: New Zealand Government

The completion of a $10 million wind turbine project in the Chatham Islands will reduce both local power prices and carbon emissions, Associate Minister for Regional Development Mark Patterson says. Minister Patterson will officially open the project on the Chatham Islands this Thursday.

“This initiative means households and businesses on the Chathams will benefit from significantly lower electricity costs, with expected savings of around 40 cents per kilowatt hour. The region will also enjoy a more stable and reliable electricity supply,” Mr Patterson says. 

“The new wind turbines will reduce diesel use by up to 68 per cent, saving approximately $1.2 million annually, and will cut carbon emissions per person by more than half – from 3.34 tonnes to 1.37 tonnes per year,” Mr Patterson says.

Before the wind turbines came into operation electricity generation relied almost entirely on diesel shipped in by an ageing vessel prone to mechanical issues. This led to electricity costs around four times higher than the New Zealand average and left the small community vulnerable to supply disruptions.

The project was funded by a $10 million grant from the government’s Climate Emergency Response Fund and a $500,000 grant from the Provincial Growth Fund. It includes three refurbished wind turbines, a storage battery, and supporting electricity distribution infrastructure.

Built in just 24 months, the project overcame tough challenges—from moving massive cranes to laying foundations without on-site concrete and meeting tight shipping deadlines.

“The Chatham Islands Renewable Energy Project is a landmark achievement that proves what’s possible when local initiative, technical innovation, and government support come together. I look forward to seeing more opportunities for the government and the Chathams to work together,” Mr Patterson says.

MIL OSI

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