AWARDS FINALIST: Fonterra and Transpower – Decarbonisation breakthrough at Edendale

5 Aug 2025

In mid-2023, Fonterra's Edendale site faced an urgent requirement to replace steam processing capacity due to the condition of two of its four coal boilers.

To deliver an electric replacement in the timeframe needed, Fonterra entered into a bold collaboration with Transpower and PowerNet.

The centrepiece of the project was the installation of Fonterra's first 20-megawatt electrode boiler.

But delivering it in time required a leap in innovation: a SCADA-based Special Protection Scheme (SPS) capable of responding to grid instability within four seconds.

A traditional approach to deliver a similar protection scheme may have required two years of network upgrades.

The SPS, developed by Transpower and enabled by PowerNet, uses SCADA-based automation to monitor grid conditions and rapidly shed load at Edendale if needed - protecting both the national grid and Fonterra's operations.

Its development required significant research, development and cross-organisational coordination, and is a first for the country.

 

Fast-track

Windsor Energy played a key role in fast-tracking the boiler's design and procurement, drawing on lessons from a similar installation nearby.

Meanwhile, FILTEC tackled the challenge of producing high-purity water for the boiler, designing and implementing a new treatment system in just six months.

The results speak for themselves; the project was delivered on time and under its $36 million budget.

It secured energy supply for one of New Zealand's largest dairy sites, cutting Edendale emissions by approximately 10 per cent and reducing its coal use by a forecast 34,000 tonnes a year.

But the impact goes far beyond Edendale. The success of this project has unlocked a pipeline of future electrification projects across Fonterra's manufacturing sites, with five further electrode boilers currently under construction.

The SPS model is also now a proven solution for overcoming grid constraints and offers a scalable path for industrial decarbonisation across New Zealand.

The annual Energy Excellence Awards will be held in Wellington on 13 August. The Large Energy User​ Initiative of the Year​ award is sponsored by EECA.