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Home / New Zealand

Essity Kawerau paper mill: $20m geothermal-powered tissue machine launches

Rotorua Daily Post
11 Mar, 2025 03:30 PM3 mins to read

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Essity is unveiling the 'world’s first' tissue machine running entirely on geothermal steam at its Kawerau paper mill. Photo / Supplied

Essity is unveiling the 'world’s first' tissue machine running entirely on geothermal steam at its Kawerau paper mill. Photo / Supplied

The “world’s first” tissue machine operating entirely on geothermal steam instead of gas is being unveiled today at Essity’s Kawerau paper mill.

More than 100 people were expected at the official opening of the newly-upgraded tissue machine, including New Zealand and Australian business leaders from the manufacturing, distribution, sustainability and retail sectors, as well as Kawerau business and community representatives.

Essity’s Australasia managing director Sid Takla said it had invested $20 million to upgrade its paper machine, “which is the world’s only tissue machine using 100% geothermal steam drying.

“This has enabled us to reduce the Kawerau paper mill’s carbon footprint by 66% since 2009, including a 25% reduction with our new technology upgrade.

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“That’s the equivalent of removing 2200 cars from the road annually.”

The company enlisted the help of 25 international experts in engineering, operations and safety management, including 120 local contractors.

The machine was upgraded over 12 weeks which included removal of old equipment, civil work, installation of new equipment and then commissioning.

Essity's tissue machine commissioning team at its Kawerau paper mill. Photo / Supplied
Essity's tissue machine commissioning team at its Kawerau paper mill. Photo / Supplied

Essity - a global hygiene and health company headquartered in Sweden - is the only tissue manufacturer in New Zealand making paper on-site and converting it into finished product.

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The mill produces products each year for brands such as Sorbent, Purex, Handee and Tork.

Takla said its operation contributed about $40m into the Bay of Plenty economy every year.

Kawerau had access to geothermal steam - a renewable energy resource managed by the company’s geothermal steam partner and supplier Ngāti Tūwharetoa Geothermal.

“The geothermal reservoir and the infrastructure in place through Ngāti Tūwharetoa Geothermal are unique to Kawerau, and we are so pleased to invest more into this smart, natural solution.

“Beyond the positive environmental impact, the project also delivers socio-economic benefits to the local economy with the partnership helping to fund local marae, housing, and education initiatives.”

The New Zealand Geothermal Association acknowledged the significance of the project as an example of industrial decarbonisation.

“By replacing fossil fuels with geothermal steam, this project demonstrates how New Zealand businesses can achieve energy security while significantly reducing carbon emissions,” chief executive Kennie Tsui said.

To celebrate the mill’s upgrade, Essity commissioned local artist Sarah Hudson, (Ngāti Awa, Tūhoe and Ngāti Pūkeko) to create two bespoke designs for the limited-edition packaging of Tork paper towels.

Hudson said her designs celebrated the “unique” geothermal energy that powered the mill - one drew on the natural elements symbolising sustainability and the other reflected the “swirling steam.

“It’s an honour to contribute my mahi to this project and support the future of sustainability in this industry.”

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