Report maps road for South Island industry’s transition to renewable energy

A new report published by EECA (the Energy Efficiency and Conservation Authority) charts a path for the South Island's industrial sector to shift from fossil fuels to renewable energy, enhancing energy efficiency and preparing industry for a low-carbon economy.

Currently, South Island industrial sites account for nearly 80% of New Zealand's coal and 11% of LPG use, emitting 28% of the country’s process heat emissions.

Insights from the report highlight the potential of biomass as a renewable fuel source, leveraging up to $605 million in wood residues from South Island forests over the next 13 years. It underscores the importance of prioritising energy efficiency in both biomass and electricity solutions, with potential savings and emission reductions through hybrid energy systems.

The transition to biomass has already been successful in 52 South Island schools, who have abandoned coal in favour of carbon-neutral wood pellets or chips as part of the Ministry of Education (MOE’s) School Coal Boiler Replacement Programme. This shift not only reduces emissions but also supports sustainable forestry practices, using waste products as fuel.

The report's recommendations urge collective action to address infrastructure, capital investment, and supply chain challenges, crucial for a comprehensive shift away from fossil fuels across the South Island's economy.