All-clear given for $473m power project

Northland has secured its electricity supply beyond 2030 after national grid operator Transpower was given approval to proceed with a $473 million power project.

The five-year North Auckland and Northland Project will install 27km of cable between Penrose and Albany, ensuring sufficient power for Northland during peak demand periods from about 2016.

It will provide Northland with an alternative supply to the existing transmission network.

Apart from boosting supply by 580MW, the alternative line will also work as a back-up in case supply from the existing transmission line is disrupted.

Northland's nearly 150,000 residents use about 530MW of electricity annually, according to Transpower.

The Commerce Commission approved Transpower's application for the upper North Island grid upgrade in June 2007.

In August, the Ministry of Environment directed a board of inquiry into Transpower's application because of widespread public concern on the actual or likely effect on the environment.

Concerns that the project would use significant natural and physical resources and that it affects more than one region or district have contributed to the ministry's direction.

The board ruled last month that allowing the project would more fully achieve the promotion of sustainable management of natural and physical resources than would declining it.

Transpower said demand in Northland and North Auckland was expected to rise to 1040MW in 2014 and 1160MW in 2019.

Factors such as growth in population, businesses, the farming sector and consumers using more electrical appliances could all increase demand.

The population in Northland's main centre, Whangarei, is projected to rise from the 74,463 in 2006 to 86,564 in 2016, to 96,173 in 2026 and to 104,883 in 2036, according to the Whangarei District Council.

Another operator, Crest Energy, has obtained a resource consent for a $600 million tidal power generation project in Kaipara Harbour. It is capable of generating up to 200MW of electricity for up to 250,000 homes.

- NORTHERN ADVOCATE