Direct Use

GEOTHERMAL DIRECT USE

Dr Charlotte Severne

Direct Use Ngātoroirangi is the original bearer of puia, ngawha and waiariki: Kuiwai and Haungaroa to send him fire and save him from a cold death. He cried out, “Kuiwai e! Haungaroa e! Ka riro au it te tonga, tukuna mai te ahi”

Direct Use

Geothermal resources, had multiple uses, including for deeply spiritually connected activities others were: Cooking Heating Drying Health including sulphur (used for medicinal purposes) paru (used for dyeing fibre) kokowai (red ochre)

Direct Use

Early Legislative Framework: Native Districts Regultation and Native Districts and Circuit Courts Act many of the aspects of the Land Court and land purchasing process that mark them as unsatisfactory, improper, even fraudulent processes which damaged the customary interests, the economic base, the livelihood, and the social cohesion of all the hapū involved. Thermal Springs Districts Act was adopted by the settler Assembly as something genuinely protective in nature, show that in the late-nineteenth century parliaments were capable of active protection of Māori interests, and of conceptualising a high ideal of protecting and reconciling the best interests of both peoples

• Historical Direct Use

The Waitangi Tribunal’s report He Maunga Rongo: Report on Central North Island Claims, makes important findings and recommendations on the claims of tāngata whenua to the geothermal resource. The Tribunal found that Māori customary law and tenure recognised rights to the geothermal resource. Evaluating the evidence, the Tribunal found that “Such law and tenure was based on intense associations with the resource, an extensive accumulated knowledge of its behaviour, and the varying characteristics of different surface and sub-surface manifestations”. The Tribunal made specific findings on the nature of customary tenure, namely that: Three layers of Māori rights and interests can be discerned: 1. Over geothermal surface features that form part of the bundle of rights akin to those associated with land ownership; 2. Over the specific geothermal fields; 3. Over the subterranean resource being the underlying common heat and energy system known as the Taupō Volcanic Zone. The rights of control and authority over the surface features and geothermal fields was held by the Hapū and Iwi that exercised mana/ autonomy and rangātiratanga over the land in question

Direct Use

Wairakei-Tauhara

Underclaim Mitigation agreements Existing Direct Use

Settlements were found at Waipahihi where there were hot springs, Nukuhau at the outlet of the Waikato River, and at Patuiwi and Otumuheke where there were well watered valleys where some cultivation could take place. The slopes of Tauhara also supported substantial cultivations where the soils were productive.

Examples of Direct Use at Wairakei • The Tenon operation in Taupo harnesses two-phase geothermal fluid from

the Tauhara geothermal field, using some 600 TJ/ year of heat energy, for kiln drying sawn timber.

• Malaysian Freshwater Prawns (macrobrachium rosenbergii) are farmed in 27°C - 31°C ponds at Huka Prawn Park, Wairakei. Heat comes from geothermal water that discharges from the Contact Energy Wairakei Binary Power Plant at about 97°C.

• Terraces and Thermal pools "mineral" pools, or they can contain either town-supplied freshwater that has been heated by geothermal energy.

Direct Use

Before you quantify what you have

Seriously look at what you had and what your organisation wants to do, what is your growth agenda?

What capacity and capability do you have?

What are the opportunities? who can help you get to where you want to go?

Refine your proposition

A road map for developing direct use opportunities for Māori

• Historical Direct Use There are still a number of key Geothermal value propositions available to Māori. These sometimes sit directly with hapū (Marae and Papakainga); with Ahuwhenua Trusts; PGSE’s and Māori businesses. Opportunities exist for GOOD equity partners He Kai Kei Aku Ringa-the Crowns commitment to enabling Māori to succeed.

What are we dealing with now?

Direct Use

The opportunity: Kawerau Field is the northern most high temperature system in the TVZ (250-300 Deg C), history of direct use.

At least 2 of the Interested Parties have geothermal resource access

-Ngati Tūwharetoa Geothermal Assets Ltd have resource consents take dry steam and reinject waste, extensive infrastructure on site, well heads, pipelines, separators, monitoring wells

-Putauaki Trust have a resource access agreement with MRP

There is capacity to utilise dry steam and electricity from the consent holders.

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Partnership

Beware of free kit!

Pick your partners carefully-remember Māori resource utilisation (large scale) commercial success is all about projected and real cashflow.

Small scale direct use at a community level

Manage your costs and enthusiasm, remember to keep your coordinator safe and supported

Large scale direct use at a community level

Quantifying the resource needs to be balanced with understanding your growth agenda and the real commercial opportunities for your organisation

He Kai Kei Aku Ringa

• Historical Direct Use The opportunity: Kawerau Field is the northern most high temperature system in the TVZ (250-300 Deg C), history of direct use.

-Ngati Tūwharetoa Geothermal Assets Ltd have resource consents take dry steam and reinject waste, extensive infrastructure on site, well heads, pipelines, separators, monitoring wells

-Putauaki Trust have a resource access agreement with MRP

There is capacity to utilise dry steam and electricity from the consent holders.

Kawerau

• Historical Direct Use

Kawerau

1. How and where the steam could be accessed

2. How the cost of geothermal steam compares with alternate energy source (i.e. electricity)

3. What types of milk processing might we be looking at ranging from simple low heat pasteurisation through to milk powder plant

4. What are the local transport options both in getting raw product plant and shipping processed powder out to market (highways, shipping, air, rail)

5. What is the estimated capital cost – is there a minimum scale to be looking at?

6. What do we know about operating costs other than energy? Even if we just categorise these for now, for future detailed assessment/modelling

7. What do we know about the value of milk products it could potentially produce (what are they, what do they sell for in market)

8. Importance of partnering (e.g. distribution expertise and export channels for product)

9. Dairy goats

• Historical Direct Use Pros Many of these resources are on our door step?

Cons Landscape, proximity, consenting issues, local govt planning/policies are tricky but matter

The banks will love you The banks will love you

Partnership there are really good and experienced public and private opportunities

Nothing is for free and you will not keep all your roopu happy

The structures are often in place

Governance capacity

Employment opportunities Low in capacity, skills across all levels