Expected ROI of large scale battery storage project in New Zealand 2025

Is New Zealand's first large-scale grid battery storage system complete?

Construction of New Zealand’s first large-scale grid battery storage system is now complete, with Meridian Energy’s Ruakākā Battery Energy Storage System (BESS) being officially opened in a ceremony later today.

What is the NZ battery project?

The NZ Battery Project was set up in 2020 to explore possible renewable energy storage solutions for when our hydro lakes run low for long periods. A pumped hydro scheme at Lake Onslow was one of the options being explored. The Government stopped the Lake Onslow investigations in late 2023.

How much does a battery cost in New Zealand?

The mean charging spot price was $123/MWh and the median was $132/MWh. As New Zealand electrifies, more grid-scale batteries will support the growing renewable energy supply. Meridian Energy is building a 100MW (200MWh) battery near Ruakākā in sunny Northland. This battery is expected to be commissioned in September 2024.

Why should New Zealand invest in grid-scale batteries?

Additionally, these batteries, alongside more renewable generation, will help off-set the retirement of thermal generation and support New Zealand’s transition to a low-emissions economy. The first grid-scale battery was commissioned in 2023 by Hamilton lines company WEL Networks.

Which energy company has a 100 MW battery storage system?

2. Meridian Energy: Solar + 100 MW BESS Recently, Meridian Energy purchased a striking 105 hectares of land to set up a utility-scale solar plant and a 100 MW battery storage system. It is somewhat poetic that the land in question is situated near the Marsden Point oil refinery.

Will Marsden Point be New Zealand's largest grid-scale battery farm?

It is somewhat poetic that the land in question is situated near the Marsden Point oil refinery. The renewable energy park is expected to go online by mid-2023, and will likely be New Zealand’s largest-ever grid-scale battery farm.