Transpower releases Security of Supply Annual Assessment

Transpower today advised that there is sufficient consented generation available to ensure a reliable electricity supply until at least 2027 — assuming the industry continues to rely on thermal generation.

Each year, Transpower publishes a Security of Supply Annual Assessment, providing a medium-to-long-term view of how the power system is expected to respond to a range of supply and demand scenarios. This document is intended to support the electricity industry in making informed decisions relating to generation needs.

General Manager System Operations John Clarke said Transpower’s thinking has been guided by the various options facing the electricity industry and New Zealand electricity consumers, including an increased focus on renewable generation.

“This year, we have used scenarios to test the ability of the power system to meet security of supply margins over the next decade. These scenarios were developed based on the continued operation of the Tiwai aluminium smelter and known current, committed and consented generation projects we are aware of.

“Our findings indicate there is sufficient consented generation available to ensure efficient levels of reliability until at least 2027 — assuming the industry continues to rely on thermal generation.

“If New Zealand starts to see an increased reliance on electricity coupled with a greater dependence on renewable generation, new generation options may need to be considered beyond 2024, to maintain security of supply standards.

“We are working with the Electricity Authority to review the security standards to ensure they are appropriate in a changing environment. We will continue our discussions with industry participants and provide up-to-date information as further analysis occurs.” he said.

Background information:

• As owner and operator of New Zealand’s National Grid, Transpower publishes an annual assessment that considers the power system's ability to meet winter energy and peak requirements over the mid-to-long-term. This assessment considers three security of supply standards set by the Electricity Authority.
• This year’s Security of Supply Assessment and previous assessments can be found here.

For further information, please contact:
Clea Marshall, Acting Corporate Communications Manager, 04 590 6633; 027 807 9904