Doubling the capacity of our Renwick substation will allow another local winery to sustain their ongoing success.
Take a drive around Blenheim in autumn and it's impossible to ignore the dominance of the wine industry. At this time of year the leaves are turning, and the vineyards spread out across previously arid pastoral land like a giant, golden carpet. According to the Marlborough Winegrowers Association, about 70% of New Zealand's wine is now made in our region, and production has more than quadrupled in the past 10 years. Among the several crucial ingredients needed to create the aromatic sauvignon blanc Marlborough is world-famous for – a cool climate, gravelly soil and a skilled winemaker – a reliable power supply is equally vital. Our forward planning to anticipate demand and invest in the network is one of the keys to sustaining that reputation.
Nine major new wineries have been established in Marlborough in just the past four or so years, including Yealands, Delegats and Spy Valley. Existing wineries have also grown in size. Just one example is Wither Hills, which this year announced a $45m expansion, trebling its output.
The latest new venture is the Waihopai River Vineyard winery, a $40m state-of-the-art complex under construction on the south side of the Wairau Valley. Owner and local winemaker, Brent Marris, saw the vineyard potential of the land between the Delta Hills and the Waihopai River, and has been developing his 268ha property since 2003. Waihopai River, like many other new vineyards in the region, occupies previously rural land that was not ideally suited to traditional farming use. Marlborough Lines now powers irrigation for the land, that enables grapes to thrive. Once the grapes are picked, they require further power for rapid chilling and processing. The resulting wine must then be stabilised at a low temperature before bottling.
Forecasting ahead, Marlborough Lines last year doubled capacity at the Renwick substation. The Company also constructed a new 33/11kV substation at Leefield to remove the load from the Renwick substation and reinforce supply to the Waihopai Valley area. We rebuilt lines in the Wairau Valley to provide increased capacity and constructed additional tie-lines and cables to allow for alternate supplies in case of faults and to provide flexibility during system operations. We also improved the level of protection and supervisory systems at the Company's substations, to ensure a more reliable customer supply.
With a keen eye on sustainable growth, Marlborough Lines has purchased land near the Waihopai River winery with plans to build a further 33/11kV substation there. This will not only reinforce supply for current ventures but provide back-up supply for future wineries in the area.