Venture Taranaki has welcomed the announcement of a joint venture for a $50 million green hydrogen development in South Taranaki.

The partnership between Ballance Agri-Nutrients and Hiringa Energy will include up to four wind turbines added to the landscape at South Taranaki's Kapuni, generating green or zero-emission hydrogen for use in the industrial production of ammonia urea and hydrogen for the heavy transport sector.

"This project is fantastic news for South Taranaki, the regional economy, and New Zealand as we look to transition to a low-emissions future," says Venture Taranaki Chief Executive Justine Gilliland.

"The initiative will help launch the hydrogen industry in Taranaki, importantly supplying not just industrial applications but also the heavy transport sector. The production of green urea will also benefit New Zealand's food production sector."

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"In 1959 New Zealand's modern hydrocarbon industry was launched with the discovery of the Kapuni reserves. Now, 60 years later, it is fitting that Kapuni is leading New Zealand into the development of a new-energy industry."

The project was highlighted in the H2 Taranaki Roadmap, the plan to leverage Taranaki's energy infrastructure and expertise to foster the development of a hydrogen industry for the region and New Zealand. The Roadmap was launched by Prime Minister Jacinda Ardern in March 2019.

"The H2 Taranaki Roadmap identified the significant potential that hydrogen offers as part of New Zealand's transition to the low-emissions economy of the future," Justine says.

"Many other countries and companies around the world are seeing hydrogen as one serious tool in a low-emissions future, and we need to be part of that future."

"Hydrogen has been produced in Taranaki from natural gas for years. This project will see that process move to utilise green hydrogen, and in doing so open many more opportunities for hydrogen supply, not only in Taranaki, but beyond the region."

"The commitment that both Ballance and Hiringa have made to this project reflects both this region's focus on the transition to a lower emissions future, but also local businesses leveraging the region's existing enterprises and expertise."