Contact Energy
Encyclopedia
Contact Energy Limited is a New Zealand
electricity generator
, natural gas
wholesaler and electricity
, natural gas, and LPG retailer.
The company is the second-largest electricity generator in New Zealand (after Meridian Energy
), generating 24 percent of New Zealand's electricity in the year ending 31 December 2009, and has the second-largest market share of the country's electricity retailers (after Genesis Energy). Contact owns and operates nine power station in New Zealand, is the operator of one other New Zealand power station, and owns 25% of one Queensland power station. The New Zealand power stations consist of three gas turbine facilities, in Auckland, Hamilton and Taranaki; four geothermal stations north of Taupo, and two hydroelectric dams on the Clutha River.
Contact Energy originated with the partitioning of the Electricity Corporation of New Zealand
in 1996, and publicly listed in 1999. The Australian energy company Origin Energy
holds a 51% shareholding in Contact Energy.
with a payment of $1.6 billion. As the founding chief executive, Paul Anthony
was instrumental in establishing the corporation distinct from ECNZ.
In 1999, the company was sold in a public offering of shares, with 40% purchased by Edison Mission Energy
(EME) as cornerstone shareholder. EME subsequently increased its shareholding to 51%.
Following financial difficulties elsewhere in its business, EME onsold its shareholding to Origin Energy
in 2004.
During the 2008 financial crisis, Contact decided to increase prices by up to 12%, while doubling its directors' fees. As a result, it lost more than 40000 customers in six months - 10% of the total. Its profit was halved. Contact calls this the worst blow to its reputation in the company's history.
near Traralgon in Australia. This plant was sold in 2005.
In 2006, Contact and Genesis Energy set up a joint venture project called Gasbridge to provide an option to import LNG. Their proposed terminal at Port Taranaki
was highly controversial, and the plan was shelved in favour of an offshore terminal plan in mid 2009.
Contact and Origin Energy
have developed a gas storage project at the depleted Ahuroa reservoir in Taranaki.
Contact has indicated it intends to begin public consultation on hydro developments on the Clutha River, at Queensbury, Luggate, Tuapeka and Beaumont.
New Zealand
New Zealand is an island country in the south-western Pacific Ocean comprising two main landmasses and numerous smaller islands. The country is situated some east of Australia across the Tasman Sea, and roughly south of the Pacific island nations of New Caledonia, Fiji, and Tonga...
electricity generator
Electricity generation
Electricity generation is the process of generating electric energy from other forms of energy.The fundamental principles of electricity generation were discovered during the 1820s and early 1830s by the British scientist Michael Faraday...
, natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
wholesaler and electricity
Electricity retailing
Electricity retailing is the final process in the delivery of electricity from generation to the consumer. The other main processes are transmission and distribution.- Beginnings :...
, natural gas, and LPG retailer.
The company is the second-largest electricity generator in New Zealand (after Meridian Energy
Meridian Energy
Meridian Energy Limited is a New Zealand state-owned electricity generator and retailer. The company generates the largest proportion of New Zealand's electricity, generating 32 percent of the country's electricity in the year ending 31 December 2009, and is the fourth-equal largest retailer, with...
), generating 24 percent of New Zealand's electricity in the year ending 31 December 2009, and has the second-largest market share of the country's electricity retailers (after Genesis Energy). Contact owns and operates nine power station in New Zealand, is the operator of one other New Zealand power station, and owns 25% of one Queensland power station. The New Zealand power stations consist of three gas turbine facilities, in Auckland, Hamilton and Taranaki; four geothermal stations north of Taupo, and two hydroelectric dams on the Clutha River.
Contact Energy originated with the partitioning of the Electricity Corporation of New Zealand
Electricity Corporation of New Zealand
The Electricity Corporation of New Zealand Ltd is a New Zealand state-owned enterprise formed on 1 April 1987, as a transition entity in the process of deregulating the New Zealand electricity market...
in 1996, and publicly listed in 1999. The Australian energy company Origin Energy
Origin Energy
-History:Origin Energy was formed in February 2000, as a result of a demerger from the Australian conglomerate Boral Limited, in which the energy business was removed from the building and construction materials business to form the new company....
holds a 51% shareholding in Contact Energy.
History
Contact Energy was incorporated on 8 November 1995 and became a state owned enterprise on 18 November 1995. Contact commenced operations on 1 February 1996, acquiring assets from ECNZElectricity Corporation of New Zealand
The Electricity Corporation of New Zealand Ltd is a New Zealand state-owned enterprise formed on 1 April 1987, as a transition entity in the process of deregulating the New Zealand electricity market...
with a payment of $1.6 billion. As the founding chief executive, Paul Anthony
Paul Anthony
Paul Anthony is a senior executive who has played prominent roles in several major energy corporations in the United Kingdom, New Zealand and Australia...
was instrumental in establishing the corporation distinct from ECNZ.
In 1999, the company was sold in a public offering of shares, with 40% purchased by Edison Mission Energy
Edison Mission Energy
Edison Mission Energy is an independent power producer based in California and owned by Edison International. In the 1990s, EME owned electricity generating assets in Victoria, Australia and 51% of Contact Energy in New Zealand....
(EME) as cornerstone shareholder. EME subsequently increased its shareholding to 51%.
Following financial difficulties elsewhere in its business, EME onsold its shareholding to Origin Energy
Origin Energy
-History:Origin Energy was formed in February 2000, as a result of a demerger from the Australian conglomerate Boral Limited, in which the energy business was removed from the building and construction materials business to form the new company....
in 2004.
During the 2008 financial crisis, Contact decided to increase prices by up to 12%, while doubling its directors' fees. As a result, it lost more than 40000 customers in six months - 10% of the total. Its profit was halved. Contact calls this the worst blow to its reputation in the company's history.
Power stations
Contact Energy owns and operates (unless otherwise stated) the following power stations:| Name | Fuel | | Type | Location | Capacity (MW) | Annual Average Generation (GWh) | Commissioned | Notes |
|---|---|---|---|---|---|---|---|
| New Zealand stations | |||||||
| Clyde Clyde Dam The Clyde Dam, New Zealand's third largest hydroelectric dam, is built on the Clutha River near the town of Clyde. It is owned and operated by Contact Energy.-History:... |
Hydroelectric | Conventional | Clyde Clyde, New Zealand Clyde is a small town in Central Otago, New Zealand with a population of 918 in 2006. It is located on the Clutha River, between Cromwell and Alexandra.... , Otago Otago Otago is a region of New Zealand in the south of the South Island. The region covers an area of approximately making it the country's second largest region. The population of Otago is... |
432 | 2050 | 1992 | |
| Ohaaki Ohaaki Power Station The Ohaaki Power Station is a geothermal power station owned and operated by Contact Energy. A distinctive feature of this power station is the 105 m high natural draft cooling tower, the only one of its kind in New Zealand.... |
Geothermal Geothermal Geothermal is related to energy and may refer to:* The geothermal gradient and associated heat flows from within the Earth- Renewable technology :... |
Flash steam | Ohaaki, Waikato | 70 | 300 | 1989 | |
| Otahuhu B Otahuhu Power Station The Otahuhu power station site holds two plants; Otahuhu A and Otahuhu B . The station is owned and operated by Contact Energy.- Otahuhu A :... |
Gas | Combined-cycle turbine | Otahuhu, Auckland | 380 | 2380 | 2000 | |
| Poihipi Poihipi Power Station The Poihipi Power Station is a geothermal power station owned and operated by Contact Energy. It is located on Poihipi Road near Taupo in New Zealand.... |
Geothermal | Flash steam | Wairakei Wairakei Wairakei is the name of a power station, small settlement and a geothermal area a few kilometres north of Taupo, in the centre of the North Island of New Zealand, on the Waikato River.- Geothermal field :... , Waikato |
55 | 350 | 1996 | |
| Roxburgh Roxburgh Dam The Roxburgh Dam is the earliest of the large hydroelectric projects in the southern South Island of New Zealand. It lies across the Clutha River / Mata-Au, some from Dunedin, some to the north of the town of Roxburgh... |
Hydroelectric | Conventional | Roxburgh Roxburgh Roxburgh , also known as Rosbroch, is a village, civil parish and now-destroyed royal burgh. It was an important trading burgh in High Medieval to early modern Scotland... , Otago |
320 | 1610 | 1956-1962 | |
| Stratford Stratford Power Station The Stratford Power Station is a 575 MW power station located east of Stratford, Taranaki, New Zealand. It comprises one combined cycle unit and two open cycle gas turbine units and is owned and operated by Contact Energy.- History :... |
Gas | Open-cycle / Combined-cycle turbine | Stratford Stratford, New Zealand Stratford is the only town in the central Taranaki district of Stratford District, New Zealand. It lies beneath the eastern slopes of Mount Taranaki/Egmont, approximately half-way between New Plymouth and Hawera, near the geographic centre of the Taranaki region. The town has a population of... , Taranaki |
585 | 3350 | 1998, 2010 | |
| Te Huka | Geothermal | Binary cycle | Taupo Taupo Taupo is a town on the shore of Lake Taupo in the centre of the North Island of New Zealand. It is the seat of the Taupo District Council and lies in the southern Waikato Region.... |
23 | 2010 | ||
| Te Rapa Te Rapa cogeneration The Te Rapa cogeneration plant is a 45 MW cogeneration plant owned and operated by Contact Energy. It is located at the Fonterra dairy factory at Te Rapa near Hamilton in New Zealand.... |
Gas | Open-cycle turbine Cogeneration Cogeneration Cogeneration is the use of a heat engine or a power station to simultaneously generate both electricity and useful heat.... |
Te Rapa Te Rapa Te Rapa is a mixed light industrial, large scale retail and semi-rural suburb to the northwest of central Hamilton, New Zealand.Stretching in a long, thin north-south axis, Te Rapa is home to a large number of factories including Te Rapa Dairy Factory, one of the largest of its kind in the world... , Waikato |
44 | 200 | 2000 | |
| Wairakei Wairakei Power Station The Wairakei Power Station is a geothermal power station near the Wairakei Geothermal Field in New Zealand. Wairakei lies in the Taupo Volcanic Zone.- History :... |
Geothermal | Flash steam / Binary cycle | Wairakei, Waikato | 161 | 1310 | 1958, 2005 | |
| Whirinaki Whirinaki Power Station The Whirinaki Power Station is an open cycle gas turbine power station at Whirinaki, Hawke's Bay in New Zealand.-Background:Following national power shortages in 2001 and 2003 due to low hydro lake levels, the New Zealand government commissioned Contact Energy to build reserve generation on the... |
Diesel | Open-cycle turbine | Whirinaki, Hawke's Bay Hawke's Bay Hawke's Bay is a region of New Zealand. Hawke's Bay is recognised on the world stage for its award-winning wines. The regional council sits in both the cities of Napier and Hastings.-Geography:... |
155 | 9 | 2004 | Owned by New Zealand Government |
| Overseas stations | |||||||
| Oakey | Gas/Oil | Open-cycle gas turbine Gas turbine A gas turbine, also called a combustion turbine, is a type of internal combustion engine. It has an upstream rotating compressor coupled to a downstream turbine, and a combustion chamber in-between.... |
Toowoomba, Queensland Queensland Queensland is a state of Australia, occupying the north-eastern section of the mainland continent. It is bordered by the Northern Territory, South Australia and New South Wales to the west, south-west and south respectively. To the east, Queensland is bordered by the Coral Sea and Pacific Ocean... , Australia Australia Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area... |
300 | 2000 | 25% owner | |
Decommissioned stations
| Name | Fuel | Type | Location | Capacity (MW) | Annual Average Generation (GWh) | Commissioned | Decommissioned | Notes |
|---|---|---|---|---|---|---|---|---|
| New Plymouth New Plymouth Power Station The New Plymouth Power Station was a 600 MW thermal power station at New Plymouth. Located at Port Taranaki, it was dual fuelled on natural gas and fuel oil.-History:... |
Gas / Oil | Steam turbine | New Plymouth New Plymouth New Plymouth is the major city of the Taranaki Region on the west coast of the North Island of New Zealand. It is named after Plymouth, Devon, England, from where the first English settlers migrated.... , Taranaki |
600 | 1974 | 2008 | ||
| Otahuhu A Otahuhu Power Station The Otahuhu power station site holds two plants; Otahuhu A and Otahuhu B . The station is owned and operated by Contact Energy.- Otahuhu A :... |
Gas | Open-cycle turbine | Otahuhu, Auckland | 1968 |
Generation developments
| Name | Fuel | Location | Proposed capacity (MW) | Status | Notes |
|---|---|---|---|---|---|
| Hauāuru mā raki Hauauru ma raki Hauāuru mā raki is a wind farm being developed on the Waikato coast of New Zealand.It will extend 34 km along the coast between Port Waikato and Raglan. The project covers an area of and has a capacity of up to 504 MW... |
Wind | west Waikato | 504 | draft consent granted | |
| Hawea | Hydro | Lake Hawea, Otago | 17 | Consents granted | |
| Tauhara stage 2 Tauhara Power Station The Tauhara Power Station is a geothermal power station north of Taupo in New Zealand. Stage 2 of the project is being developed by Contact Energy and Tauhara Moana Trust.-Tahuara Stage 1:... |
Geothermal | near Taupo Taupo Taupo is a town on the shore of Lake Taupo in the centre of the North Island of New Zealand. It is the seat of the Taupo District Council and lies in the southern Waikato Region.... |
250 | Consents granted | |
| Te Mihi Te Mihi Power Station The Te Mihi Power Station is a 159 MW geothermal power station being developed by Contact Energy north of Taupo in New Zealand.The resource consent for the power station was "called in" by the Minister for the Environment Trevor Mallard under the terms of the Resource Management Act... |
Geothermal | north of Taupo Taupo Taupo is a town on the shore of Lake Taupo in the centre of the North Island of New Zealand. It is the seat of the Taupo District Council and lies in the southern Waikato Region.... |
159 | under construction | To replace Wairakei station |
| Waitahora | Wind | Puketoi Ranges, east of Palmerston North | 156 | Consents granted |
Other developments
In 2001 and 2002, Contact and Edison Mission Energy developed the Valley Power Peaking FacilityValley Power Peaking Facility
The Valley Power Peaking Facility is an open cycle, gas turbine power station at Traralgon in the Latrobe Valley in Victoria, Australia. It is owned and operated by Snowy Hydro....
near Traralgon in Australia. This plant was sold in 2005.
In 2006, Contact and Genesis Energy set up a joint venture project called Gasbridge to provide an option to import LNG. Their proposed terminal at Port Taranaki
Port Taranaki
Port Taranaki is located at New Plymouth, New Zealand. It is the only deep water port on the west coast of New Zealand, and is owned by the Taranaki Regional Council...
was highly controversial, and the plan was shelved in favour of an offshore terminal plan in mid 2009.
Contact and Origin Energy
Origin Energy
-History:Origin Energy was formed in February 2000, as a result of a demerger from the Australian conglomerate Boral Limited, in which the energy business was removed from the building and construction materials business to form the new company....
have developed a gas storage project at the depleted Ahuroa reservoir in Taranaki.
Contact has indicated it intends to begin public consultation on hydro developments on the Clutha River, at Queensbury, Luggate, Tuapeka and Beaumont.