Lauren Faithfull, McKay Renewables Manager responds to Budget 2023

I welcome the announcement of the $50 million for distributed renewable energy projects to enhance the energy resilience of low income and energy insecure communities. I hope that some of that investment makes it way to Northland or the Bay of Plenty where they have some of the highest electricity prices in the country.

Initiatives like this are important because they help us create more resilient communities by increasing access to renewable energy, especially in places where people may not have access to electricity at all. This is an important step towards empowering our communities to take control of their own energy supply and make sure they have access to affordable, reliable power – while also supporting New Zealand’s ambitious goal of achieving 100 per cent renewable electricity by 2030

I do however, wonder if there should have also been money spent on streamlining the development process of large-scale renewable energy projects?

The allocation of the $50 million will likely be split among many small projects, which would not achieve the efficiencies of large-scale construction. This leaves me to wonder if there should have also been money spent on streamlining the development process of large-scale renewable energy projects. After all, there appears to be plenty of investment available for renewable projects (the NZGIF got $300M boost in this budget) but the uncertainty around consenting, grid connection and forward power pricing is slowing down the process.

One way of streamlining the process is renewable energy zones, and Northland is the perfect place for a trial of this concept. Concentrating renewable energy in one zone can reduce the costs to upgrade the distribution network and encourage developers to work together to bring renewable energy to region and the rest of the country.

Additional benefits of large-scale developments would be the opportunities to upskill local labour and many economic benefits during construction – in addition to bringing cheaper energy and climate resilience to energy insecure communities.

As we move into the future, I hope that we can continue to work towards finding innovative ways to make our communities more sustainable and resilient. I look forward to seeing how the budget allocation supports the residents of our most energy-insecure communities and hope that the successful implementation of small renewable energy projects will pave the way for larger-scale projects in the future.

I believe that access to reliable power is crucial for all New Zealander’s, and that last Thursday’s announcement is an important step toward ensuring that everyone has access to electricity, regardless of where they live or what their income level may be.