Embrace the Future: Powering Up with Electric Boilers – Newsletter Volume 2
TUBMAN HEATING NEWSLETTER - VOLUME 2
Hello there,
We are thrilled to bring you the latest edition of our newsletter, where we delve into the cutting-edge advancements in the industrial heating industry, with a special focus on the game-changing technology of electric boilers. As New Zealand embraces sustainable practices and seeks to reduce its carbon footprint, electric boilers have emerged as a beacon of innovation and environmental responsibility.
The New Zealand Government aims to support businesses through the transition from fossil fuels to low-emission alternatives with the GIDI fund, administered by EECA. One of the projects under the GIDI fund is GIDI: Commercial Buildings, which helps commercial building owners and tenants increase energy efficiency and lower emissions by replacing fossil fuel boilers used for space and water heating in commercial buildings. This initiative is relevant for electric boiler funding, as electric boilers are one of the low-emissions alternatives that can be considered for replacing fossil fuel boilers.
If you are a commercial building owner or tenant who wants to apply for electric boiler funding under the GIDI fund, you need to meet some eligibility criteria, such as:
• Your building must use fossil fuels (coal, gas, diesel) for space and/or water heating.
• Your building must have an annual energy spend of at least $50,000.
• Your project must have a minimum co-funding request of $50,000 and a maximum of $500,000.
• Your project must have a simple payback period of less than 15 years.
• Your project must be completed by 30 June 2025.
You can find more details about the eligibility criteria, the application process, and the assessment criteria on the EECA website.
GIDI: Industrial supports medium to large businesses using fossil fuel powered process heat currently and wanting to transition to alternatives. For more information on funding options check out our GIDI fund blog post.
If you would like to know more about alternative heating options for your business please contact Dave Teesdale on the link below
As always, our mission is to keep you informed and inspired. We hope that this edition sparks your curiosity and ignites your passion for sustainable industrial heating solutions. As traditional heating systems grapple with various challenges, it becomes increasingly evident that electric and biomass boilers stand at the forefront of a clean energy revolution, redefining the way industries heat their processes. Together, let’s embark on a journey toward a more energy-efficient, environmentally conscious, and prosperous future for New Zealand’s industries.
Sincerely,
Michael Buckley
Chief Executive Officer
HEATING UPDATES
OUR LATEST PROJECTS
In this case study, we delve into the successful procurement, prefabrication, installation, and commissioning of a Simons Electric Boiler for a client in the industrial heating sector. The project involved multiple stages, including tank fabrication, prefabrication of equipment, and comprehensive installation of various components. By closely coordinating with trusted suppliers, ensuring efficient prefabrication, and employing skilled technicians, the project was executed seamlessly, resulting in a fully functional heating system.
PRODUCT RECOMMENDATION
When it comes to efficient and reliable steam solutions for industrial and commercial applications in New Zealand, we recommend the Unical EL7 electric steam boiler. Renowned for its advanced technology, durability, and energy efficiency, the Unical EL7 is a game-changer in the industry. Our blog post highlights the EL7’s features, benefits and performance in industrial and commercial steam applications.
GIDI FUND UPDATE
The GIDI fund aims to accelerate business decarbonisation, optimise energy use, and help achieve a just transition from fossil fuels to cleaner renewable energy sources across the industrial and commercial sectors.The GIDI Fund has various co-funding options and has already supported several projects, such as Woolworks’ switch from coal to biomass boilers and Alliance’s Southland coal boiler replacement with an electrode steam boiler.
GIDI: Industrial
Supports medium to large businesses that use process heat powered by fossil fuels, to reduce their carbon emissions and transition to clean energy and clever technologies.
- Co-funding is open to all New Zealand-based and NZBN registered private sector businesses, on an always on basis. Businesses are encouraged to apply as soon as they are ready.
- Co-funding is limited to a maximum of 50% of eligible project costs, and the total project costs must be at least $300,000. Projects must be fully commissioned and operational by 31 December 2027.
ELECTRIFICATION OF PROCESS HEAT
There are a number of benefits to electrifying industry process heat. First, it can help to reduce greenhouse gas emissions. Currently, more than half of New Zealand’s process heat demand is met by fossil fuels, such as coal and gas. Electrifying process heat can help to reduce these emissions and contribute to New Zealand’s climate goals.
Second, electrifying process heat can improve energy efficiency.
Fossil fuel-fired boilers are often inefficient, losing heat through the stack and flue gases. Electric boilers, on the other hand, can be much more efficient, transferring heat from one place to another with little loss. This can lead to significant energy savings for businesses.
Third, electrifying process heat can improve air quality. Fossil fuel-fired boilers emit pollutants such as nitrogen oxides, sulfur dioxide, and particulate matter. These pollutants can contribute to smog, acid rain, and respiratory problems. Electrifying process heat can help to reduce these emissions and improve air quality.
There are however a number of challenges to electrifying industry process heat. One challenge is the cost of electricity. Electricity prices in New Zealand are relatively high, which can make it more expensive to electrify process heat than to use fossil fuels. However, the cost of electricity is expected to fall in the future as more renewable energy projects are developed.
Another challenge is the availability of electricity. New Zealand’s electricity grid is not always able to meet peak demand, which can lead to blackouts. This is a particular challenge for businesses that use a lot of electricity for process heat. However, New Zealand is investing in new transmission lines and storage facilities to improve the reliability of the grid.
Despite these challenges, there is a growing momentum to electrify industry process heat in New Zealand. The government is providing financial incentives for businesses to switch to electric boilers and heat pumps, and a number of industry associations are working to promote the benefits of electrification. As the cost of electricity falls and the grid becomes more reliable, it is likely that we will see a significant increase in the electrification of industry process heat in New Zealand in the coming years.
Check out Meridian’s Process heat electrification programme here.
EXPANDING OUR HORIZONS
Geographic growth will see us grow our business into Hawkes Bay with Denford Mukoho based in the region from the start of November this year. If you are a Hawkes Bay customer or know of anyone needing our services in the region we welcome you reaching out. Denford is currently in Hamilton assisting our team with some service work but is available to Hawkes Bay customers if need be. Hawkes Bay contact details are:
06 836 5649
hawkesbay@tubman.co.nz
Denford Mukoho
021840657
