The New Zealand Government Has Established A $1.2 Billion Fund To Promote 100% Renewable Energy Generation

The New Zealand government has launched a NZ $2 billion ($1.22 billion) fund with BlackRock to step up investment in wind and solar power, battery storage and green hydrogen, pushing New Zealand to become one of the first countries in the world to be powered entirely by renewable energy.

New Zealand built hydropower decades ago, and now the proportion of renewable energy in the grid is about 82%, and the New Zealand government aims to achieve 100% renewable energy generation by 2030. New Zealand Prime Minister Chris Hipkins said: "This fund is a game-changer for the clean technology sector and a pragmatic and practical step for the government to actually grow our economy and create jobs while accelerating climate action." Mr Hipkins said the fund would allow New Zealand companies to commercialise their technology intellectual property around the world.

Hipkins said it would take a total investment of about $26 billion to fully green the grid, and "working with and supporting industry to address the climate crisis is a natural thing to do." Blackrock CEO Larry Fink said, "The world is looking for collaborative models between the private and public sectors to ensure an orderly, just and equitable energy transition."

But David Seymour, leader of New Zealand's Liberal ACT party, said the government's plan would drive up electricity prices and do little to benefit the environment. "New Zealanders don't want to be subjected to a 'world-first' climate change experiment that means the government will micromanage their lives," Seymour said in a statement.