23 Feb 2017

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Electricity for Council facilities will provided by four suppliers for the next 30 months under a deal that is expected to save the city $1.6 million.

Councillors voted in favour of a staff recommendation for contracts to be signed with Meridian Energy Ltd, Genesis Energy Ltd, Contact Energy Ltd and Trustpower Ltd for the provision of electricity for Council facilities and street lights for a 30-month term.

Electricity provision for Christchurch City Council facilities

The deal is worth about $30.8 million, $1.6m cheaper than current supply agreements, which expire on March 31. It will also apply to new facilities as they open.

The four energy companies involved were identified following a procurement process, involving 110 public sector agencies, led by in the Ministry of Business, Innovation and Employment (MBIE). This allows the Council to benefit from collective purchasing power and means the cost and time of administering the process is borne by MBIE.

The Council is a significant consumer of electricity in Christchurch with an approximate annual total consumption of 69GWh (Gigawatt hours).

A staff report said the council is committed to sustainable operations, which include the ongoing management of its electricity demand.

Over the past two and a half years the council has reduced its energy demand by 4 per cent or 3GWh. This reduction involves using a variety of technologies including solar power (such as solar powered toilets in parks), ground source heat pumps (aquatic and recreation centres), and landfill gas to heat the Civic Centre and Christchurch Art Gallery.

At a meeting today, Councillors voted to consult with the community as part of the Long Term Plan as to whether it should procure electricity only from suppliers who can certify that their electricity supply is 100 per cent renewable.

The Council will also prepare a remit to Local Government New Zealand on renewable electricity procurement and work with MBIE, the Climate Change Minister, the Canterbury Mayoral Forum, and Local Government New Zealand in order to achieve a future contract that uses 100 per cent renewable electricity.