Meridian Annual Report - Meridian Energy

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Climate Change
As a specialist renewable energy generator and the first company to
achieve carboNZero certTM certification for electricity in New Zealand,
Meridian has the experience and the credentials to provide leadership
in response to climate change.
Meridian understands that climate change poses both risks and
opportunities for its business.
Climate variability has the potential to impact our renewable
generation, which relies on wind and water for fuel. Therefore we
seek out the best available scientific advice to help us understand
the potential impacts and to manage our portfolio based on credible
climate change scenarios.
Climate change is complicated and some of the issues involved are
controversial. We communicate developments in understanding
about climate change impacts to our staff, customers and communities
to ensure enhanced public understanding in this area, as well
as to stimulate informed debate.
We are interested in authentic action on climate change. We believe
addressing the potential impacts of climate change is not just the
right thing to do, it is our obligation given our commitment to a
sustainable future.
We are working with policy makers and regulators to ensure a
coherent policy response to climate change issues for New Zealand
as a whole.
Meridian’s existing renewable power generation benefits New
Zealand by minimising greenhouse gas emissions (by reducing the
reliance on thermal electricity generation). Fewer emissions mean
lower cost compliance with our Kyoto Protocol obligations. Every
new hydro station or wind farm also reduces the need for thermal
plant to operate, further avoiding increases in greenhouse gas
emissions. Meridian’s White Hill wind farm, commissioned in 2007,
like our Te Āpiti wind farm in 2004, has achieved Gold Standard
registration in recognition of its emission reduction potential.
We want to be responsible about our own environmental impacts,
including our carbon footprint, which is why we sought
carboNZero certTM status.
The carboNZero certTM status of Meridian’s electricity was extended for
the 2007/08 year. We have set ourselves a challenge to continuously
improve our performance in the carbon management process.
We are on a journey towards becoming a full carbon neutral
company and this year we completed an inventory of greenhouse
gas emissions for the full Meridian Energy Group. A summary of this
inventory is contained at the back of this report.
Our commitment to sustainable development requires that each
year we reduce the emissions intensity of our operations. Minimising
emissions calls for ongoing organisational change and innovative
technology. In the past year, we have improved our videoconferencing
and communications technology to enable more effective meetings
between offices. Our move to the new Queens Wharf building
was a major statement on how seriously we are taking the need for
environmental sustainability in our operations.
If we cannot avoid or reduce climate change emissions, we offset
them using market and trading mechanisms, as allowed for under
the carboNZero certTM process.
At the same time, we work with and challenge our industry peers,
suppliers and customers to reduce their carbon footprints. Meridian’s
subsidiary, Right House, and business unit, Energy for Industry,
are part of this approach, working with customers and consumers
to improve energy efficiency and conservation, in effect reducing
energy intensity. Subsidiary Arc Innovations has developed smart
meters which are being installed in our Christchurch customers’
households and will enable better use of energy. Meridian’s
investment in WhisperGen is an example of innovative technology,
which will provide significant emission reduction benefits as its
micro heat and power units are installed in thousands of homes
throughout Europe.
Meridian has built significant experience over the past few years
in the carbon trading market. Highlights of the year included
running the first Trade Me sale of carbon credits, in partnership
with Trade Me and M-Co. We believe the emerging carbon market
is the most effective mechanism and catalyst for reducing greenhouse
gas emissions.
In the past year, Meridian has made significant progress in positioning
itself to respond to the risks and opportunities inherent in climate
change and is looking forward to the opportunities presented by the
increasing global focus on climate and sustainability issues.