Mercury is building a research and development centre for solar, battery storage and other energy technologies on the site of its former gas-fired Southdown power station in Auckland.
Chief executive, Fraser Whineray said the centre would be a test bed for solar technology not seen in New Zealand before.
The initial installation, to be completed by November this year, will include highly-efficient glass panels from global leader Trina Solar along with three types of battery technology (from LG Chem, SolaX and Enphase), smart electric vehicle charging solutions, and sophisticated energy analytics and monitoring equipment.
The previous fossil-fuelled electricity generation on the Southdown site had peak carbon emissions of 500,000 tonnes per year less than a decade ago.
"This is about extending our strength in renewables and making proven new options available, particularly with electric vehicles and solar,'' Whineray said.