Construction is set to begin next month on a wood pellet facility in Kawerau, designed to reduce coal consumption and support local employment.
The NZ$410 million (€225 million) plant, developed by renewable energy company Foresta, will process pine residues from the region into torrefied wood pellets.
These will be supplied to Huntly Power Station, where the operator has a goal of offsetting coal use with biomass.
Foresta anticipates that the facility could eventually produce around 2.1 million tonnes of pellets annually, roughly matching New Zealand’s current coal consumption.
The project is expected to create between 50 and 75 jobs. Kawerau mayor Faylene Tunui expressed cautious optimism, noting that while the plant offers economic benefits, it must also be managed with care for the environment.
The plant will be built on land owned by Putauaki Trust, which has several local iwi shareholders. Foresta has indicated that it will focus on local hiring and skills development as the project progresses.
The company has previously applied for an accelerated approval process to begin construction more quickly.
Kawerau to host new wood pellet plant aimed at reducing coal use
