A megawatt peak is a unit of measurement for the maximum potential power output of a source, usually solar or wind power systems.
First Renewables is part of Taranaki-based Clarus, which has Rockgas, Firstgas, Firstlight Network and Flexgas in its stable.
Clarus general manager of future fuels James Irvine said the project would also generate jobs and business opportunities, and support biodiversity in the area by creating a wetland and allowing the land to continue to be used for farming.
During the two-year construction phase, the project will create around 350 fulltime equivalent jobs during the peak of construction, as well as produce permanent jobs once construction is completed, he said.
The joint venture has appointed Elecnor, a leading global renewable energy engineering procurement and construction contractor, as the lead construction partner to build the solar farm.
The funding requirements are supported by a syndicated debt facility provided by ANZ, ASB, BNZ and MUFG Bank, with MUFG acting as financial adviser on the transaction.
The solar farm project is supported by a power purchase arrangement with Meridian Energy, which will buy 100% of the output for the first 10 years of operation.
Meridian chief executive Neal Barclay said the agreement showed New Zealand’s electricity industry was working well.
“As we continue to invest and build renewable electricity assets throughout New Zealand, this agreement will provide even more certainty for Kiwi households and businesses,” he said.
“Tauhei Solar Farm ticks all the boxes for us – it’s an exciting development generating clean energy from the abundant Waikato sun that’ll add more resilience to New Zealand’s electricity supply.
“This is a great example of a large retailer supporting new generation in the wholesale market, and it clearly shows how the electricity system is delivering new competitive and commercially viable independent generation.”
Most of the site will remain in productive farming, switching from dairy farming to sheep farming.
The farm’s photovoltaic panels will provide shelter and shade for the sheep, while also helping to retain moisture in the ground during the hottest months of the year.
Harmony is one of the UK’s leading developers and owners of battery energy storage systems (BESS).
The company is developing 10 solar and BESS projects between 70MWp and 250MWp, taking projects from conception to commissioning.
Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011.
