Geothermal Energy to Play Vital Role in New Zealand's Future

The plant is part of the New Zealand-owned power generator and retailer's geothermal exploration and development program. Kawerau, said Heffernan, is the first stage in Mighty River Power's plans to develop 400 MW of geothermal energy over the next five to ten years.

"In addition we have identified a further 800MW of potential resource which could also be developed in the longer term, subject to gaining land access agreements, resource consents and sufficient transmission infrastructure," said Heffernan.

According to Heffernan, Mighty River Power's primary focus is on geothermal generation because it has a number of distinct advantages over other renewable energy sources in New Zealand.

"Unlike other renewable energy sources, such as wind and hydro, geothermal is not subject to the climate variations such as wind speed or the amount of rain fall. Because of this it can contribute to the country's energy requirements with more certainty," he said, adding that geothermal generation could ultimately develop a potential 1,200 megawatts (MW)of the renewable resource.

Once complete in 2008, the Kawerau geothermal station will increase local generation capacity in the Eastern Bay of Plenty, meeting approximately one-third of residential and industrial demand in the region.