NZGrower | May 2022

Page 32

YOUR INDUSTRY

HEAT ON GREENHOUSE GROWERS Geoff Lewis

Photo by Trefor Ward

Southern Belle owner Frans de Jong with the dehumidifier that he has had installed

Large commercial greenhouse growers – reliant on heat and carbon dioxide – are searching for viable alternatives to gas and coal, as prices soar and growers seek to reduce their carbon emissions. Southern Paprika has 26 hectares under glass producing 7,000 tonnes of capsicum a year for domestic and export markets. The heat is provided by natural gas and carbon dioxide taken from the heating process, which achieves a 15 percent increase in production. General manager Blair Morris says their Warkworth operation consumes 275,000 gigajoules of energy annually. “Some of the big gas producers have stopped investing. Natural gas is our second biggest cost after labour, and our gas price has gone up two to three times. We had one gas supplier for 20 years who told us after 1 April 2022 that they couldn’t supply us. “We are concerned about energy supply and cost. The key problem is New Zealand doesn’t have enough renewables for electricity generation. If we get into a loss-making situation, it would be better to close down, repurpose the land and move to an import model.”

30  NZGROWER : MAY 2022

Morris says Southern Paprika is working with EECA on a transition plan and a number of energy alternatives, all of which are expensive. Biomass from forestry waste is possible but there are uncertainties including the cost of transport and it would not be a 100 percent replacement for gas; maybe 50 percent.

We are concerned about energy supply and cost. The key problem is New Zealand doesn’t have enough renewables for electricity generation. If we get into a lossmaking situation, it would be better to close down, repurpose the land and move to an import model “We are also looking at the capital required. We’re big on reducing New Zealand’s carbon footprint and the government is doing some good things to support industry, like the GIDI (Government Investment in Decarbonising Industry) fund to help transition to non-carbon alternatives.


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