Great South strategic projects general manager Steven Canny said the need for renewable energy in iconic locations like Stewart Island and Milford Sound had never been greater.
Great South and the Southland District Council have released a draft Southland and Murihiku Regional Energy Strategy 2022-2050 report which has been released for public consultation.
A battery bank would discharge into the supply during peak loads but store energy during low demand.
There was still detailed work to be done to replace the diesel generation plant which pumped up to a million kilograms of carbon dioxide into the air every year.
"The current path was not practical or environmentally the right thing to be doing," the report said.
There had been significant discussions, debates and workshops on Stewart Island over a long period and future plans would require detailed planning with the community.
The latest report joined the ranks of dozens in the past four decades.
Former councillor and long time island resident Bruce Ford said it was about time the island’s energy problems had a shake-up.
He thought a possible solution could rest with a Danish-based hybrid energy firm Vestesen, which had expressed interest in developing a solution for the island in the past.
The latest report recommended it was critically important to involve the community and iwi at an early stage.
Mr Canny said Southland was leading the nation in commercial decarbonisation.
The strategy suggested Stewart Island needed to be decarbonised by 2030, but it was "still only the start of this journey".
"I think there’s a great opportunity for Stewart Island to be recognised as a green island, as an iconic destination for a low-carbon future.
"The actual strategy itself has been pulled together by Beca ... they’re experts in the field, and in they’ve made a very firm recommendation in that regard."
He hoped the new strategic framework had identified a way forward from its present impasse.
He accepted some people might feel wind turbines would be an eyesore in the landscape.
"But there’s a trade-off here, and the trade-off is go without electricity or have an alternative. The reality is, that any form of renewable energy, within reason, and as long as it sits in a modified landscape or otherwise, is a doable proposition."
It was crucial to keep supply and demand balanced alongside renewable energy investment, or it would "drive prices through the roof".
- By Toni McDonald
