Mercury and NZAS collaborate on renewables

Mercury NZ has signed a long-term agreement with New Zealand Aluminium Smelters (NZAS), saying it is a significant stepping stone for further renewables development.

“We’re very pleased to have played a role in helping NZAS commit to a long-term presence in New Zealand,” says Mercury portfolio executive general manager Phil Gibson.

“NZAS has a critical part to play in giving the market certainty to invest in more renewables, helping us get on with the business of electrifying Aotearoa.

“This agreement gives us confidence to continue to move fast on our commitment to bringing more renewables to New Zealand,” says Gibson.

“We can now turn our attention to the expansion of the Kaiwera Downs wind farm and expect to confirm this in the near future.”

The agreement will take effect from January 2025 for up to 20 years, with baseload volume stepping up from 50MW to 75MW in 2027.    

“New Zealand’s future is brighter because of the role of renewables, and we’re keen to see more renewable generation projects delivered at the scale and pace required to meet New Zealand’s climate change goals,” says Gibson.

The agreement has been approved by the Electricity Authority under the ‘materially large contract’ restrictions in the Electricity Industry Participation Code, conditional on administrative and regulatory matters being completed.