Expected ROI of lead acid battery storage project in New Zealand 2026

Is the NZ battery project a dry year solution?

This Indicative Business Case is supported by a significant body of technical evidence – but uncertainties exist across all options. The NZ Battery Project was set up with a predominant focus on the option of a pumped hydro scheme at Lake Onslow in Central Otago. This option has been raised as a potential dry year solution since as early as 2005.

Could NZ battery project increase existing hydro storage?

The NZ Battery Project identified several potential options for increasing existing hydro storage, including through discussions with generators. Lake Pukaki in the South Island (pictured right) was identified as the only potentially suitable location for extension that could meet the required scale.

Why is the NZ battery investment proposal a high risk project?

The NZ Battery investment proposal is high risk, due to the scope, scale, and complexity of the project. An appropriate reporting and assurance approach is needed to provide assurance that the project is on track to deliver the intended outcomes. The approach to assurance for the project is outlined in Table 51.

How can the NZ battery project achieve its strategic and investment objectives?

Ensure the NZ Battery Project will achieve its strategic and investment objectives. The project will have strong technical and policy directives which may at times be challenging to reconcile.

Which large-scale battery energy storage systems are coming to New Zealand?

As a result, worldwide as well as in New Zealand, more and more large-scale Battery Energy Storage Systems (BESS) are announcing their arrivals. Let’s take a look at a few examples: 1. WEL Networks + Infratec: 35 MW BESS

Can domestic hydrogen production be used as a partial NZ battery solution?

Outcome: An option utilising domestic hydrogen production with carrier storage has been shortlisted as a partial NZ Battery solution, though uncertainties remain as to its viability on this scale while the relevant markets are still developing. NZ Battery Project, Other Technologies Feasibility Study, WSP, 30 September 2022.