Mercury NZ commits to major expansion of Kaiwera Downs wind farm

Mercury NZ Limited, a leader in renewable energy, has confirmed its decision to proceed with a significant expansion of the Kaiwera Downs wind farm near Gore, New Zealand. This decision follows a long-term agreement with New Zealand Aluminium Smelters and marks a pivotal moment in the country’s shift towards a lower-carbon future. The project, which is set to commence construction in June 2024, involves a substantial investment of NZ$486 million.

Enhanced Capacity and Energy Production

Once completed by the end of 2026, the expanded wind farm will boast an installed capacity of 198 MW, making it the second largest in New Zealand. This expansion will include the addition of 36 new turbines, enhancing the farm’s total generation capacity to power approximately 73,000 homes annually with renewable energy. The total investment in renewables by Mercury for FY24 will exceed NZ$700 million, highlighting the company’s commitment to sustainable development.

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Mercury NZ Limited advances New Zealand's renewable energy landscape with a NZ$486 million expansion of the Kaiwera Downs Wind Farm, marking a significant step toward a greener future.
Mercury NZ Limited advances New Zealand’s renewable energy landscape with a NZ$486 million expansion of the Kaiwera Downs Wind Farm, marking a significant step toward a greener future.

Construction Phases and Specifications

The construction of Stage 2 of the Kaiwera Downs Wind Farm will add 155 MW to the current capacity. The turbines, sourced from Vestas and known for their efficiency, will stand with a hub height of 88 meters and blade tip height of 156 meters. The project also includes the extension of transmission lines to connect with the Transpower network, ensuring the effective distribution of the generated energy.

Community and Environmental Commitment

Phil Gibson, Executive GM Portfolio at Mercury, emphasized the company’s dedication to community and environmental standards: “As we continue to grow, we want to be a positive part of all the communities we show up in. We know there are many in the Gore community who are deeply interested in this project, and we’re committed to continuing to work with the community as we have with the first stage of Kaiwera Downs.”

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Mercury recognizes the importance of engaging with local stakeholders, including Hokonui Rūnanga, and is committed to constructing and operating in a responsible manner that respects local expectations and contributes positively to the region.

Forward-Looking Initiatives

Looking beyond the Kaiwera Downs expansion, Mercury is also progressing with other significant renewable projects, including the expansion of the Ngā Tamariki geothermal station and nearing the final investment decision for the Kaiwaikawe wind farm near Dargaville. These initiatives are part of Mercury’s broader strategy to enhance New Zealand’s renewable energy capacity to meet the nation’s climate change goals.

Impact on the Energy Sector

The expansion of the Kaiwera Downs Wind Farm is expected to play a crucial role in New Zealand’s energy transition, providing a substantial increase in renewable energy supply and supporting the national grid’s stability. This project not only supports Mercury’s growth strategy but also aligns with global efforts to enhance sustainable energy solutions.

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