Here’a to a Bright and 100% Electric Future

The New Zealand Electricity Authority can positively predict that its electricity grid will be 100% renewable by 2040 with increased and accelerated investment in new electricity generation as part of its transition to a highly renewable electricity system.

“Actual demand growth as the economy transitions to electric will invariably incentivize and pull through even more investment,” explains Neal Barclay, Meridian’s Chief Executive.

In the last 15 years, more than $5.5 billion has been invested in renewables, thus lifting the penetration rate from 65% of the market to 88% in normal conditions. Unlike in many other advanced economies, investments have been driven purely by economics in the absence of demand growth and government incentives. As a leader in sustainability, New Zealand benefits from fair electricity prices and good energy security. From 2022 to 2023, the country added 5.5 Terawatt/hour (TWh) in new electricity generation projects. Meridian alone – one of New Zealand’s four major energy suppliers, along with Contact, Genesis, and Mercury – plans on adding 2 TWh soon. According to Concept Consulting’s Generation Investment Survey, an annual output capability on completion will rise from 2,600 Gigawatt/hour (GWh) to almost 5,000 GWh. It is expected that within the next three years, wind and solar projects will provide an annual generation capability of 20,800 GWh, from the current 12,700 GWh.