2 days ago
- Business
- Otago Daily Times
Power line to support growth in industry
Peter Moynihan. PHOTO: ODT FILES
Fonterra is teaming up with The Power Company and Transpower to build a new 110kV power line in Southland, aimed at supporting industrial growth and reducing emissions at its Edendale site.
In a media statement, Power Company group chairman Peter Moynihan said the new line would provide reliable energy to the growth of industry and Fonterra's move towards a greener future.
Called the Hokonui Line, the project is set to begin construction in September next year. It will provide power for the site's expansion, including a new UHT milk plant, and help drive the co-op's transition away from coal.
Fonterra unveiled the plant's first fossil-fuel-free electrode boiler in May, replacing one of the plant's five coal boilers.
At the time, it also announced the $70m plan for two more boilers to be built and operational by August 2027.
Mr Moynihan said the new line will also be completed by that date.
"This project ensures our network has the strength and resilience needed to meet increasing demand, support industry, and enable the transition to a low-emissions economy," he said.
It was a great example of infrastructure partners working together toward a common goal, he said.
The project team was engaging early with stakeholders and landowners to ensure clear and consistent communication.
Alongside supporting the growth of one of New Zealand's oldest and largest industrial sites, it would generate jobs for the region.
In May, Fonterra chief operating officer Anna Palairet said the introduction of the electrode boilers was part of the company's goal to halve its carbon emissions by 2030.
Earlier this week , the company's energy and climate general manager Linda Mulvihill further highlighted the importance of investments like the line in enabling industrial decarbonisation.
Transpower acting executive general manager of external affairs Diana Price said as well as powering Fonterra, the line will have wider power security benefits for Southland.
She said the investment showed the two power companies shared commitment and co-operation in supporting local industry and enabling a lower emission future. — Allied Media
