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Genesis Energy has started building a $150 million grid-scale battery on its Huntly Power Station site, which it says will be able to power 60,000 households. 

Construction of the 100-megawatt (MW) battery started today at a ceremony attended by Minister of Energy Simon Watts, local iwi, Electricity Authority chief executive Sarah Gillies, Waikato District Council chief executive Craig Hobbs and Genesis chief executive Malcolm Johns. 

The battery will have a storage capacity of 200 megawatt hours (MWh), enough to power around 60,000 average households for two hours during winter, Genesis says. 

“The project will provide essential back-up to the national grid during times of peak demand, such as cold winter mornings and evenings,” Johns said. 

“We’ll be able to store electricity in the battery during times of high generation and release it when it’s most needed.” 

Watts said grid-scale batteries would be pivotal for enhancing New Zealand’s energy security and affordability. 

“By integrating grid-scale batteries, we can reduce energy price volatility, decrease reliance on fossil fuels and pave the way for a sustainable and resilient energy future,” Watts said. 

Genesis recently opened its first solar farm at Lauriston in Canterbury. 

Johns said the battery is the perfect partner for its generation portfolio, including Lauriston and new solar farms in its construction pipeline. 

“We can store the equivalent energy generated by solar farms during the day and release it at night when customer demand is high,” he said. 

An artist's rendering of Genesis Energy's battery project at Huntly. 

The 70 battery units are being supplied by Saft, based in France, and installed by Northpower. The site is expected to be operational by late 2026. 

Johns said the project was the first stage of a multi-stage project that would see the Huntly portfolio develop a battery system of up to 400MW by 2035. 

“Huntly is evolving as it plays a critical role in backing up the electricity system through the renewable transition, providing flexible power when hydro lakes are low, the sun doesn’t shine and the wind doesn’t blow,” he said. 

The battery will be connected to the national grid directly from the Transpower sub-station at the Huntly site, where Genesis’ coal and gas-powered generation is based. 

“This connection made Huntly ideal for installing a grid-scale battery, along with its location close to the high-demand centres of Hamilton, Auckland and Tauranga, and our fantastic local workforce,” Johns said. 

“As New Zealand’s electricity supply becomes more renewable and subject to weather, this battery will help smooth out fluctuations in supply, ensuring supply remains reliable and secure,” he said. 

Last month, Meridian Energy officially opened a 100MW grid-scale battery – New Zealand’s first – at Ruakākā, near Whangārei. 

Meridian said the facility would add a North Island storage asset to New Zealand’s electricity system. 

Jamie Gray is an Auckland-based journalist, covering the financial markets and the primary sector. He joined the Herald in 2011.