$100m natural gas-fired power plant in operation
A new $100 million natural gas-fired peaker power plant has begun production in Taranaki.
Todd Generation’s 100 megawatt Junction Rd power plant, 7km south of New Plymouth, which is supplied from the First Gas pipeline and connected to the national electricity grid, commenced operation in May.
The plant’s two 50 megawatt gas turbines are designed to meet electricity demand at peak periods and provide a base load when wind or hydro generation is low.
The company's vice president downstream energy and Nova Energy chief executive Babu Bahirathan said the plant was going through a bedding in process, focusing on fine-tuning operations to ensure all aspects were running optimally.
READ MORE:
* Power companies accused of manipulation as minister prepares renewables push
* Long term gas contract flows from upgraded Taranaki storage facility
* Time for a Government rethink on their rationale of offshore exploration ban
”With the low hydro storage levels in the country, the plant has been providing a reliable, flexible and cost-effective supply to the market, when there is limited supply of renewable generation,” Bahirathan said.
Todd Energy also operates a second peaker plant at the company's McKee production station, near Tikorangi.
Bahirathan said the company’s investment in fast-start peaking facilities was consistent with New Zealand’s future transition to a low-emissions economy.
“The recently announced closure of the Tiwai Point aluminium smelter is likely to accelerate that transition with fast-start peaking facilities being best placed to provide security of supply to New Zealand homes and businesses, when renewable generation like wind and hydro are in short supply."