Retail power prices and power supply security
As retail prices increase, storage in our power system is declining because of historically low rainfall (needed for our hydro-power lakes) and low wind generation.
The Huntly Power Station, New Zealand's largest thermal power station. Image: Saft. Saft, a subsidiary of French energy giant TotalEnergies, will provide Genesis Energy in New Zealand with a 100MW/200MWh utility-scale battery energy storage system (BESS).
The lowest price paid was $8,000 for a 6 kWh battery, which implies that smaller systems can be more accessible for those on a budget. The best value was $9,000 for a 9.6 kWh battery, equating to $937.50 per kWh. Indicating the batteries below $1000/kWh can be hunted down in the NZ market. What's Next for Solar Prices in 2025?
Huntly Power Station is the largest thermal power station in New Zealand, with a generation capacity of 1,200MW, making it the country's single largest electricity generation site. According to Saft, the power station plays an important role in the country's electricity market.
Increasing electricity production will also enable the decarbonisation of the economy – which is needed to meet New Zealand's climate goals. Despite the building of more renewable generation plants, future prices 1 for winter 2024, 2025 and 2026 remain high (see figure 1).
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