CO2CRC partners
Solid Energy New Zealand Ltd
Solid Energy, a state-owned enterprise, is a major New Zealand energy producer and a leading producer of high-quality coal for export and for New Zealand market.
We invest in research and commercialisation of new sustainable forms of energy that use coal, and in renewables, such as biomass, biodiesel and solar, that help New Zealand in the transition to clean, affordable and renewable energy forms.
For the last three years and the next 18, Solid Energy has and will be investing more than NZ$100 million in research and development into bioenergy, clean coal technology and alternative uses of coal. This equates to an annual commitment of NZ$1/tonne of coal.
This commitment includes:
- Carbon Capture and Storage: We have committed $1 million over five years, specifically for greenhouse gas reduction, capture and storage and including applied research, supporting the development of regulatory frameworks and funding opportunities. It also includes membership of CO2CRC, our own assessment of possible sites in New Zealand for permanent storage of CO2 and support for New Zealand research into carbon storage. Solid Energy is the only New Zealand shareholder in CO2CRC Pilot Project Ltd which is operating the trial CO2 storage project in the Otway Basin, Western Victoria.
- Gasification: Solid Energy is investigating the potential for gasifying lignite which makes up about 80% of New Zealand’s 15 billion tonne coal resource, most of which is in Southland. Our preliminary conclusion is that the project with the most potential is the conversion of coal to transport fuel which could replace significant levels of imported product.
- Emissions management: We have a number of options available to manage the emissions footprint from a lignite-based project including:
- carbon capture and storage in deep underground natural reservoirs
- capturing CO2 in forests, or in biochar (locking up carbon by turning biomass feedstock into a form of carbon).
- purchasing emissions units under the proposed New Zealand Emissions Trading Scheme, generating our own units within New Zealand or via the Kyoto Protocol’s Clean Development Mechanism.
- Coal seam gas: We are currently trialling, with our US joint venture partner, Resource Development Technology, the extraction of coal seam gas (methane) from deep underground coal seam in the Waikato. We are also testing the feasibility of biologically using CO2 to enhance the production of coal seam gas and of allowing naturally-occuring microbial flora to convert the CO2 back into methane for energy use.
- Hydrogen Production: We are support Government-sponsored research into the development of low rank coal to high purity hydrogen suitable for use in fuel cells.
- Bioenergy: Our pellet fuel business, Nature’s Flame was established in 2003 making wood pellets from waste wood for both residential and commercial customers; we are developing a biofuels business which uses used cooking oil and rapeseed oil as the feedstock; and are the distributors of solar water heating through Switch our business which delivers integrated energy solutions for homes, businesses, schools and other public buildings.
For more information visit www.coalnz.com.