Hitachi Energy will power the second stage of Transpower’s $144 million grid transformation project on New Zealand’s North Island at the Otahuhu substation in Auckland.
The advanced technology, SVC Light STATCOM (static synchronous compensator), will provide stability and voltage control to the North Island electric grid, as demand for clean energy accelerates due to the electrification of industry and transportation, data centers, and population growth.
Electricity usage is forecast to grow by approximately 70 percent by 2050 in New Zealand. Thus, STATCOM is required to keep up with load growth and maintain system resilience for more renewable energy integration.
The second grid stability device, a ±150MVAr STATCOM, will be offered by Hitachi Energy at the OtAhuhu substation, which is a major node of high-voltage electricity lines and related infrastructure. STATCOM uses power electronics to provide variable reactive power in response to voltage variations, supporting the grid’s stability while the energy mix evolves.
“Voltage control in this region is a growing challenge due to the retirement of fossil-fueled generation, a reduction in system inertia, and the real projected growth in demand for electricity,” said Matt Webb, Executive General Manager Grid Development at Transpower. “Since we began work on stage one of this project in 2021, the speed of change in the electricity landscape in the North Island has increased with greater electrification of industry and transportation, new data centers, and major new residential developments.”
The installation of the Otahuhu Dynamic Reactive Plant (DRP) follows Hitachi Energy’s commissioning of the Hamilton DRP, also a ±150MVAr STATCOM, as part of the Waikato Upper North Island Voltage Management project. The Hamilton DRP, operational since July 2023, has deployed a STATCOM technology solution in New Zealand at this scale.
SVC Light STATCOM is part of Hitachi Energy’s Grid-enSure portfolio, which includes solutions based on power electronics and advanced control systems protecting grid stability, reliability, and power quality as the transition to renewable energy accelerates. The Hamilton and OtAhuhu substations use Hitachi Energy’s SVC Light STATCOM technology, which increases power transfer capability by enhancing voltage stability to maintain a smooth voltage profile under different network conditions.