A new power scheme on the lower Waitaki River represents a significant opportunity for New Zealand to address its growing demand for electricity and improve security of supply, Meridian Energy told the Environment Court yesterday.
If its north bank tunnel concept (NBTC) power scheme on the river did not go ahead, New Zealand would lose one of its very few large renewable generation opportunities which would require several other smaller developments to replicate it, or a reliance on other methods of generation, Meridian director of strategy Andrew Roberston said.
The NBTC was a unique opportunity, because it would use existing hydro storage of the Waitaki power system.
It was among the largest and best new generation options available to New Zealand and the South Island, a "compelling option" to meet the growing demand for electricity in New Zealand.
Energy efficiency and conservation was important, but was not nearly enough to offset the need for new generation.
In terms of the cost of electricity it would produce, the scheme was an economically efficient response to increasing demand, and it was appropriate for it to be developed as soon as possible.
Mr Robertson said if the scheme received resource consents, it could be completed in 2016 or shortly after.
Another project Meridian was pursuing was the Project Hayes wind farm.
Project Hayes and the NBTC could supply between four and four and a-half years of growth in New Zealand's electricity demand but, more importantly, about 12 to 14 years of South Island growth.
Output would be consumed mainly in the South Island, delivering a significant improvement in security of supply, he said.
Under cross-examination, he said the scheme would "contribute very meaningfully" and "significantly" to security of supply in very dry years.
