Construction Begins On Papareireiā Solar Farm In Northland

Site works have begun on a $40 million dollar 21MW solar array on farmland near Maungaturoto.

The development has been gifted the name Papareireiā, which refers to the rays of the sun being consumed by the whenua.

A joint venture between Tupu Tonu (the Ngāpuhi Investment Fund Ltd), Purpose Capital and Harbour Infrastructure, Papareireiā is expected to be completed in 2025.

The solar farm will generate up to 32 GWh of clean energy each year – enough to power around 4,000 Kiwi homes (or 12,800 electric vehicles). It will reduce carbon emissions by approximately 3,300 tonnes per year.

Its only customer, via an innovative power purchase agreement (PPA) with Mercury Energy, will be Ryman Healthcare which owns 40 retirement villages in New Zealand.

Harbour Infrastructure CEO Andrew Archibald says the agreement with Mercury and Ryman Healthcare reflects the evolving landscape of corporate renewable energy in New Zealand.

“This is a progressive and smart approach to green energy procurement that is enabling Ryman to take a step forward on their journey to decarbonisation. It’s also important for New Zealand’s future – the more we can increase the country’s renewable energy supply, the more likely we are to meet our net zero goals and bring energy costs down.”

Purpose Capital’s Investment Director Matt Currie, who will take on a governance role in the project, agrees.

“The importance of new generation projects like Papareireiā is particularly obvious at present given the recent rises in wholesale electricity prices, dwindling gas supply, increasing electricity demand and volatile hydro lake levels due to climatic factors.” 

The project received debt financing from Westpac New Zealand Limited.

Ryman will buy the power it needs for village operations at a guaranteed price through the ten-year exclusive supply agreement with Harbour Infrastructure and Mercury.

Ryman Healthcare Executive Chair Dean Hamilton says the project supports Ryman’s ambition to build climate-resilient villages and delivers them more surety of cost in a dynamic energy market.

“We are targeting 100% electricity from renewable sources in New Zealand. Additionally, the solar farm will help reduce Ryman’s electricity costs and provide certainty over future pricing.” Tupu Tonu Chair Ben Dalton says, “We take a long-term approach to investment, and energy and infrastructure are key target sectors for Tupu Tonu.”

Tupu Tonu is a Crown-owned investment company tasked with building asset value to support future Treaty negotiations between the Crown and ngā hapū o Ngāpuhi.

“Investing in renewable energy enables us to grow the value of the fund and contribute to the economic development of the region in a sustainable manner.” Mr Dalton added, “We would like to acknowledge Te Uri o Hau in leading the site blessing for the project and helping to bring this important development to light.”

Notes:

• Maungaturoto Solar Farm Ltd is a joint venture between Purpose Capital Impact Fund,
  Tupu Tonu (the Ngāpuhi Investment Fund Ltd) and Harbour Infrastructure.
• The Ryman Healthcare Solar Farm project received debt financing from Westpac New
  Zealand Limited, with Harbour Infrastructure partnering with specialist impact investor
  Purpose Capital and Tupu Tonu (the Ngāpuhi Investment Fund Ltd) – a Crown-owned
  investment company tasked with building asset value in support of future Treaty
  negotiations between the Crown and ngā hapū o Ngāpuhi. Chint Green Energy NZ, a
  Tier 1 module manufacturer and leading EPC contractor, has been engaged to carry
  out the construction of the solar farm.
• The project was supported by Anderson Lloyd, DLA and PwC, on all aspects of the
  development, contracting, and project financing. Jarden advised the project on
  financial matters.
• This project will install a 33,312 Power Conversion System (PCS) technology supplied
  by Astronergy and is estimated that the solar farm will generate annually over 30 GWh
  of clean energy and reduce carbon emissions by 3,294 tonnes per year.

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