Southland District Council secures financing and awards EPC contract for Stewart Island solar and battery storage project

Type: Financing · Technology: Solar, Storage · Country: New Zealand · Capacity: 2 MW · Value: NZD 15.35M · Announced: 2026-06-09

Southland District Council secured a NZD 15.35 million loan from New Zealand’s Regional Infrastructure Fund to finance the construction of a 2 MW solar farm and a 4 MW battery energy storage system on Stewart Island/Rakiura. The project, led by the Stewart Island Electricity Supply Authority, will include 3,000 solar panels and upgrades to the island’s electricity network, with Infratec serving as the engineering, procurement, and construction contractor. Expected to be completed by early 2027, the facility will reduce the island’s diesel consumption by up to 75%, displacing approximately 200,000 liters of diesel annually and cutting power prices by NZD 0.35 per kWh. The initiative directly addresses community concerns over high energy costs, supply risks, and long-term resilience, with Associate Regional Development Minister Mark Patterson highlighting its alignment with local challenges. Southland Mayor Rob Scott emphasized the project’s role in delivering a more reliable, sustainable, and affordable energy supply while stimulating the local economy through job creation and reduced energy costs for tourism and aquaculture sectors.

Counterparties

Source article

📈 The Sherpa Signal — one notable infrastructure deal a day.