Speaker 1: You're listening to a shares These podcast, Perhaps if you
Speaker 1: can give us an idea of what you think the
Speaker 1: demand is for electricity, I mean the likes of data
Speaker 1: centers and you know, worldwide, not.
Speaker 2: Just New Zealand. You know, it just seems like we
Speaker 2: need more and more.
Speaker 1: But what sort of stats can you offer for that?
Speaker 2: Yeah, so the global picture is quite interesting. So globally
Speaker 2: we've traditionally grown energy electricity demand by about two and
Speaker 2: a half percent per annum, but over the past year
Speaker 2: that's really tipped up, so it's almost double that in
Speaker 2: a year. AI. It's a combination of a few things,
Speaker 2: so AI is definitely a driver, but also the cost
Speaker 2: of solar and the access to that, particularly in emerging economies,
Speaker 2: has driven you know, rapid electrification in India, and then
Speaker 2: China is going gangbusters electrifying and you know, is really
Speaker 2: an electro state now and a real pioneer of you know,
Speaker 2: rapid deployment of renewables. And also they manufacture so much
Speaker 2: of the of the products that go across the electricity
Speaker 2: supply chain as well. So the global picture for electricity
Speaker 2: is growth. The New Zealand picture is more complicated. So
Speaker 2: you know, most listeners will have been aware that over
Speaker 2: the past year we've had significant struggles in terms of
Speaker 2: security of supply. But on top of that, we've had
Speaker 2: really high prices since really about twenty eighteen they kicked up,
Speaker 2: and as a result of that, you know, we've had
Speaker 2: quite flat demand. So and even last year it declined
Speaker 2: because we were asking large consumers to curtail their usage.
Speaker 2: But I think we should be more optimistic about the
Speaker 2: about what future the future, and you know that if
Speaker 2: we can build enough generation to service the demand, then
Speaker 2: you know, there we should be realizing a significant increase
Speaker 2: in it. So we already know that there there's you know,
Speaker 2: between half a gig and a gig depends who you
Speaker 2: talk to. With the data centers sitting there to be
Speaker 2: built before twenty thirty, so that's pretty soon. So when
Speaker 2: you think if we've got that much data center load,
Speaker 2: then in terms of the new renewables to match off,
Speaker 2: we need you know, if it's GUO, they're all an
Speaker 2: exact match, but if it's wind and solar, then we
Speaker 2: need about you know, four times the capacity of whatever's
Speaker 2: coming on to be built. So there's the opportunity to
Speaker 2: realize those that growth from data centers. We will continue
Speaker 2: to get some increase from the residential space, and that
Speaker 2: will be driven by the rate of house builds. So
Speaker 2: we see, you know, every house that gets built that
Speaker 2: will edge consumption and the rate at which they electrified
Speaker 2: their transport. So yeah, if you buy an EV that
Speaker 2: will add kind of twenty to thirty percent more consumption
Speaker 2: onto your household. So I think if we get the
Speaker 2: clean car discount back that ages. Yeah, we saw that
Speaker 2: that when that discount was in place. We did see
Speaker 2: the rapid more rapid adoption of vb's, but that's really
Speaker 2: plateaus recently, and I think also the economic climate impacts that.
Speaker 2: And the other thing is we're also saying that many
Speaker 2: households are quite cost constraint conscious, so actual residential consumption
Speaker 2: on averages is pretty flat, but it's that new build
Speaker 2: that's adding to the system as well. Investing involves the
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