$112m Green Hydrogen Project Breaks Ground in South Taranaki

Mr Jones said the project will provide a meaningful economic lift while laying the groundwork for future clean energy industries in the region.

Construction is officially underway on a large-scale green hydrogen and renewable energy facility in South Taranaki, backed by a $19.9 million Government investment, marking a major milestone for regional development and New Zealand’s clean energy transition.

Regional Development Minister Shane Jones said the project represents a long-awaited breakthrough after more than five years of delays caused by complex consenting and appeals under the former Resource Management Act (RMA).

“We’ve waited far too long for a project of this importance to get off the ground,” Mr Jones said.“A delay like this should never have happened for an initiative that delivers jobs, energy security and long-term economic diversification to a region.”

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Clean Energy at Industrial Scale

The facility will be among the first in New Zealand to integrate:

• Wind-generated renewable electricity

• Industrial-scale renewable power supply

• Zero-emissions green hydrogen production

Renewable electricity generated through the project will supply Ballance Agri-Nutrients’ Kapuni site, helping decarbonise industrial operations, while green hydrogen will be produced for Hiringa Energy’s national hydrogen refuelling network, supporting emissions-free heavy transport.

Once operational, the project will directly reduce fossil fuel reliance across both industrial processing and transport sectors.

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Jobs and Economic Boost for Taranaki

The development is expected to create:

• Around 50 jobs during construction

• Seven permanent roles once the facility is operational

Mr Jones said the project will provide a meaningful economic lift while laying the groundwork for future clean energy industries in the region.

“This initiative unlocks significant local investment and will be a vital contributor to long-term development in Taranaki,” he said.“It helps diversify the regional economy and positions Taranaki as a leader in innovative, low-emissions energy solutions.”

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Major Investment Signals Confidence in Hydrogen Future

The Government’s $19.9 million contribution was allocated from the former Provincial Growth Fund in 2020, with the total project cost estimated at up to $112.3 million. The remaining funding is being provided by project partners, signalling strong private-sector confidence in green hydrogen’s commercial future.

Officials note the project aligns with broader national goals to reduce emissions, strengthen regional economies and accelerate investment in renewable energy infrastructure.

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Strong Public–Private and Iwi Partnership

The project is a collaboration between:

• Ministry of Business, Innovation and Employment (MBIE)

• Ballance Agri-Nutrients Limited

• Hiringa Energy Limited

• Parininihi ki Waitōtara

• Todd

Construction has commenced this month, with commissioning expected following completion of the build phase.

“This project shows what is possible when government, industry and iwi partners work together to deliver future-focused infrastructure,” Mr Jones said.

green hydrogen, South Taranaki, clean energy, regional development, Shane Jones, renewable energy, jobs, decarbonisation