Invest NZ welcomes Contact & CDC Taranaki data centre partnership
Invest New Zealand has welcomed the announcement by Contact Energy and CDC Data Centres to explore a potential data centre development in Stratford, Taranaki. The proposed 250MW project is an opportunity to combine renewable energy, digital connectivity and regional capability at one of New Zealand's advantaged locations for future data centre investment.
The announcement reinforces New Zealand's growing position as a destination for data centre investment. New Zealand offers a rare combination of renewable energy, grid capacity and connectivity, with more than 44 gigawatts of renewable generation in the development pipeline, available capacity in advantaged regions including Taranaki, and strong domestic and international fibre connections.
Robert Wall, Chief Executive of Invest New Zealand, said the announcement is an encouraging step in exploring how New Zealand's renewable energy resources, digital infrastructure and regional capabilities can support the next generation of data and AI infrastructure.
"Invest New Zealand has been pleased to work alongside industry and infrastructure partners to identify regions best placed to support large-scale data and AI infrastructure investment. Taranaki stands out for its combination of energy infrastructure, connectivity and skilled workforce, and this proposal highlights the potential to support regional economic growth, create high-value engineering and technical careers, and help unlock investment in new renewable generation."
The proposal also demonstrates how modern data centre infrastructure can align with sustainability objectives. CDC already uses advanced closed-loop cooling systems at its sites that reduce reliance on local water resources. For the Stratford project, CDC will explore a pathway to a net zero water-use cooling solution, including rainwater collection and reuse as part of the facility design.
As New Zealand's digital infrastructure sector continues to evolve, proposed investments such as this can deliver benefits beyond a single project. Long-term demand can help underpin investment in new renewable generation and battery storage, while increased utilisation of existing grid infrastructure helps spread network and transmission costs across a wider customer base.
As New Zealand's single coordinating agency for international institutional and strategic investors, Invest New Zealand will continue connecting investors with the partners, infrastructure and opportunities needed to turn ambition into investment. By supporting projects in high-growth sectors such as data and AI infrastructure, Invest New Zealand aims to increase the flow of international capital into New Zealand while supporting regional growth, productivity and long-term economic resilience.
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