Meridian Energy’s fast-track proposal to draw more water from Lake Pukaki has sparked concerns it could hurt Mackenzie's tourism industry and threaten its pristine image.
By Claire Taylor for Local Democracy Reporting
Meridian Energy general manager says environmental impacts have been considered, and the proposal could save the electricity sector around $400 million a year.
The proposal, filed in April, sought access to Lake Pukaki’s contingent storage, drawing water up to 5m below its permitted level over three years.
A fast-track panel gave the plan draft approval on June 5, with a final decision due July 3.
Mt Cook Station owner Clint Miles said lowering the lake's level would expose silt, threatening the clean and pristine image the district relied on.
“It gets dusty now, even coming down the Tasman River … if they expose all that fine silt, that’s just going to become a massive dust storm,” Miles said.
Accommodation businesses depending on lake views would be among the hardest hit, he said.
Miles said the impacts would ripple across the district, from helicopter tourism to the council-maintained Alps2Ocean trail.
"The implications for all of tourism in Mackenzie are going to be huge.”
Miles also criticised the fast-track process and the lack of consultation.
“No one’s talked to anyone that lives around the lake or works around the lake or operates around the lake.
“They’re just coming up with these pie in the sky ideas from Wellington because they need more money.”
Former Tekapo stargazing tour guide Josh Ruwhiu also opposed the fast-track process, saying it bypassed community consultation.
He raised concerns about extracting further reserves if a weather event hit.
"Drawing further reserves from Lake Pukaki is potentially devastating especially knowing that this year is a projected El Nino weather pattern."
In drought conditions, lakes could struggle to recover and become vulnerable to algal blooms and invasive pests such as didymo and freshwater clams, he said.
“People come here for the beautiful lakes, mountains, forests, and to start attacking that could have disastrous effects on tourism … the last thing we want to do is make it underwhelming for our manuhiri (visitors).”
South Canterbury resident Marty McWhirter said if Meridian proceeded with the project it should provide evidence its operations would not affect the community.
“They can’t tell farmers to prepare for drought while signing off on a project that will directly affect businesses that already pay extra for the resources,” he said.
Although the Mackenzie District Council had supported Meridian’s proposal, mayor Scott Aronsen said his concern was ensuring the lake could be replenished if levels dropped too low.
“Meridian need to have contingency for an extended period of time if the lake level fails to fill again in an appropriate time frame.”
Meridian GM Development Guy Waipara said the proposal was about getting easier access to existing storage, not accessing the lake to new depths.
“Lake Pukaki and the Waitaki Hydro Scheme are the backbone of New Zealand’s electricity system, and we believe access to additional hydro storage is essential for security of supply.”
Waipara said the sudden decline of gas as a firming fuel had put pressure on the country’s electricity industry, and they had to think more broadly about electricity production.
“Hydro storage is one key way we can secure New Zealand’s electricity supply at the lowest possible cost.”
He said during extreme events, such as energy shortages, electricity prices had soared, which this project would address.
“It is very unlikely that Meridian will need to access the full range of contingent storage. It is designed to be available during the rare periods of extremely low hydro inflows.
“We’ve calculated that freeing up access to contingent storage in Lake Pukaki is likely to save wholesale purchasers of electricity approximately $400 million a year.
“Over time this will in turn put downward pressure on the fixed rates that electricity retailers offer.”
Waipara said financial and environmental impacts of the proposal had been considered and were found to be appropriate.
Environment Canterbury acting consents planning manager Nadja McLean said the proposal would provide additional flexibility for managing hydroelectricity storage in Lake Pukaki, however, potential impacts should be considered by Meridian going forward.
When the proposal was filed in April, it drew opposition.
Parliamentary Commissioner for the Environment Simon Upton warned the proposal could cost up to $440 million in a dry year and set a dangerous precedent for the electricity sector.
Transpower, Genesis, and Energy Minister Simeon Brown also opposed it, warning it could drain a critical emergency water reserve and weaken energy security.
- LDR is local-body journalism co-funded by RNZ and NZ On Air
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