Congratulations to all musicians and hard-working organisers for another wonderful series of shows.
Between visits was a packed week announcing Budget 2026.
Despite global volatility, New Zealand’s economy is strengthening.
Innovative thinking will play a big part, and I have been getting around Southland seeing some excellent energy generation solutions. A highlight was solar-and-battery-powered Fairbank Dairy Farm near Drummond.
Fairbank run 800 cows and a 64-bale shed. They have reduced their energy demand from the grid by 85-90% and can export power during summer.
With farm energy costs often around $40,000-$50,000/year, savings are significant. They can also buy power from the grid at night if wanting to top-up their battery at cheaper rates.
They installed their entire setup for about $180,000 — including 200MW of batteries (~$140,000), solar panels (~$30,000), plus inverter and installation costs.
Their 136 panels can generate 76 kW/hour.
They got an immediate 20% deduction on all that thanks to the National Party’s Investment Boost tax incentive. Their tax advice is the batteries will depreciate by 40% each year, so essentially pay for themselves in two.
The panels have the immediate 20% Investment Boost tax deduction, plus 16% diminishing value depreciation, so on their $30,000 cost more than a third is depreciated in the first year.
Their inverter allows them to have a first-of-its-kind chiller, keeping milk at 2-3°C, which opens potential for new product markets such as high-grade pharmaceuticals.
With the significant energy cost savings, investment boost and tax depreciation considerations, plus ability for farms to apply for low interest ‘‘green loans’’, solar presents a compelling opportunity to build profitability and resilience.
Budget 2026 shows the government moving in a similar direction, with solar being added to up to 500 schools nationally. Schools are expected to save around $8000 a year, freeing up money to focus on teaching, learning and students.
There’s also been exciting news with two Southland Schools included in a separate $62.5 million investment in South Island schools. Fiordland College will get two new classrooms, and Heddon Bush School gets another classroom.
