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Home / Business

TGH launches energy subsidiary to provide power to its growing Ruakura Superhub

NZ Herald
8 Jul, 2024 01:37 AM3 mins to read

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Building is under way of a bespoke energy substation for Ruakura Superhub.

Building is under way of a bespoke energy substation for Ruakura Superhub.

Tainui Group Holdings (TGH) has formed a new subsidiary business, Ruakura Energy, to own and operate a bespoke electricity distribution network to meet the demands of its Ruakura Superhub tenants.

The new Superhub, one of the largest inland port and logistics precincts in Australasia, is adjacent to national electricity assets and hosts several large warehouse and distribution centres with significant energy needs, including for temperature controlled, cold-chain operations.

TGH, Waikato-Tainui’s commercial development arm, said the location had created the opportunity to develop its own electricity network. The company said the cost of the venture was commercially sensitive.

Energy demand was expected to grow as stage one of the 93ha site was fully developed and tenanted, and during the 20 to 30-year process to develop the full 490ha of the master-planned project, the company said.

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TGH chairwoman Hinerangi Raumati-Tu’ua said the initiative, under construction now, would ensure an independent and resilient energy supply for Ruakura Superhub.

“The formation of Ruakura Energy aligns strongly with the mana motuhake that we aspire to for our iwi. It is about taking control of our energy destiny as an inter-generational developer. By doing this we are ensuring a successful investment, providing increased resilience for our tenants, and adding value to their business,” she said.

Ruakura Energy would connect directly to the nearby Hamilton grid exit point, owned by Transpower, and distribute power via a new Ruakura substation. It would be connected to an underground network as part of the original civil works around the precinct. The substation would have a backup transformer to provide network resilience.

TGH chief executive Chris Joblin said Ruakura Energy had the potential to expand its operations.

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“Looking forward, Ruakura Energy is not just a utility provider but a critical component of the Superhub’s infrastructure, integrating energy solutions that potentially include roof-top and solar array generation for on-site consumption or sale of energy back to the national grid,” he said.

Following a competitive process, Ruakura Energy has appointed PowerNet Ltd as network manager.

PowerNet is New Zealand’s fourth largest electricity management company, managing an asset base and investments in more than $1 billion, Joblin said. The company delivered power to more than 75,000 customers mainly in the lower and central South Island.

Ruakura Energy was expected to start operations under its own name late this year.

TGH is is the wholly-owned commercial entity of Waikato-Tainui, one of the largest tribal groups in New Zealand with more than 90,000 members.

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