Ōtautahi – Energy Efficiency and Conservation Authority (EECA) has published new data highlighting South Island industry’s heavy reliance on coal and the size of the job ahead to decarbonise and help New Zealand meet its climate targets.
EECA put out the report In support of the transition to renewable energy. Mapping of fossil fuel use, in systems over 500kw, for industrial processes across the South Island has revealed a total of 176 fossil fuel-powered sites and 315 large boilers or industrial equipment.
About 92 percent of process heat consumption, which relies primarily on fossil fuel, has been found to be fuelled from coal. Further to coal, the data identifies four percent LPG and three percent diesel use. The data is not exhaustive but captures a significant sample of sites.
The report is estimated to cover 85 percent of all large-scale coal usage in the South Island. This gives EECA and the public a great representation of the size of the problem.
The data collection has been a collaborative effort between EECA, Transpower, and electricity distribution businesses across the country, with data collection led by Deta Consulting.
It has expanded the coverage of EECA’s interactive regional heat demand database tool. Users can now explore heat demand across the whole South Island, where previously only Canterbury and Southland were covered.
Alongside the new data published, EECA has opened round five of its gidi process heat contestable fund.
They are encouraging all industrial process heat users who are eligible to apply if the costs of decarbonisation are challenging.
Up to 50 percent government co-funding is available for industrial businesses who reduce existing emissions through demand reduction or by choosing a renewable option over business as usual.
Total projects costs must be at least $300,000 with projects commissioned and operational by 31 December 2027. Further EECA support is expected to become available for smaller projects in 2023.
