Resource Management Act changes will allow power plants to be built faster
Photo:
Supplied / Rob Tucker
A group representing big energy producers said changes to the Resource Management Act (RMA) will allow power plants to be built faster, and reduce price volatility in the electricity market.
Parliament passed the amendment yesterday, which means councils will now need to grant consents for certain energy infrastructure within a year.
Energy Resources Aotearoa's chief executive, John Carnegie, told
Morning Report
that it's great news for electricity consumers - big and small.
He said the slow consenting processes previously had added to costs and uncertainty.
Carnegie said more he's now expecting faster and more certain consenting processes for both fossil fuel and renewable power generation.
It has potential to take price volatility out of the electricity market, and deliver a more resilient system that can better handle unexpected weather he events, he said.
Carnegie said while renewables remain the backbone of the electricity system, New Zealand needs more fossil fuel and gas generating plants to "fill the gaps" when hydro, solar and wind outputs are low.
He said the country needs to build capacity and not be responding in crisis mode.
The
tight supply of gas
meant more demand for back up power, said Carnegie.
When asked about the carbon and environmental costs the changes may bring, Carnegie said New Zealand would otherwise be facing energy scarcity and skyrocketing prices.
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