Energy minister welcomes New Zealand’s first grid-scale battery storage facility

LinkedIn
Twitter
Reddit
Facebook
Email
Mercury CEO Fraser Whineray with New Zealand Minister for Energy Dr Megan Woods. Image: Mercury.

Minister for Energy Dr Megan Woods attended an event to officially inaugurate the first grid-scale battery energy storage system in New Zealand, hosted by energy retailer and project owner Mercury Energy.

The project, based around a Tesla Powerpack 2 battery system was revealed to be under development in January this year. Energy-Storage.news reported at the time that the 1MW / 2MWh of Powerpacks is connected to existing pumped hydro facilities in South Auckland and used by Mercury’s R&D centre as part of a trial of scalable grid-connected batteries.

Back in January, Mercury said battery capacity at the installation itself could be added to at a later date, and that the system, with a cost of close to NZ$3 million (US$2.01 million), would trial the redispatch of electricity generated by hydro as well as the possibility of using the Powerpacks in energy trading markets. A Mercury announcement this morning also said the project could be used to investigate the redispatch of geothermal energy.

“We see battery storage as playing an increasingly important role in providing a reliable supply of electricity in New Zealand, as we increase our reliance on wind and solar to generate our electricity,” John Clarke, general manager at grid operator Transpower, said.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

“We look forward to continuing to work with Mercury throughout the trial and gather key learnings to enable the transition to New Zealand’s sustainable energy future”.

Read Next

July 16, 2026
There’s been a flurry of project completions across Europe this past week, with projects completed in Germany, Estonia, Belgium, Denmark and Bulgaria by RheinEnergie/SMA, BSP, BStor, European Energy and Sunotec respectively, totalling nearly 700MWh of capacity.
July 16, 2026
Gloucester Coa has received planning approval from the New South Wales government for the 3.6GWh Stratford Pumped Hydro and Solar project.
July 15, 2026
Australia’s CSIRO has revised pumped hydro storage costs upward in the final version of its annual GenCost electricity cost report.
July 14, 2026
Owner-operator Giga Storage has secured a €450 million (US$512 million) financing package for its 700MW/2,800MWh Green Turtle BESS project in Belgium.
July 14, 2026
The Queensland government has reportedly shelved the proposed AU$6 billion (US$4 billion) Mt Rawdon pumped hydro project, ending state support for a mine-repurposing scheme that had attracted AU$50 million in government funding.