In an exciting new announcement, the New Zealand Electricity Authority predicts that their electricity grid will be 100% renewable by 2040. More than NZ$10 billion has been invested in renewables in NZ in the past 15 years, lifting the renewable penetration from 65% of the market to 88% in normal conditions. This investment has been driven purely by economics, in the absence of demand growth and government incentives, unlike in many other advanced economies.
According to the NZ Electricity Authority, “New Zealand is transitioning to a highly renewable electricity system. This change will require increased and accelerated investment in new electricity generation to match demand growth and the retirement of thermal power plants.”