New Zealand wind project scrapped for poor location

Meridian Energy is scrapping the $2 billion proposal for a 176-turbine, 633-megawatt wind farm in Central Otago called Project Hayes.

Those who blocked the project through the Environment Court after the plan to build on the Lammermoor Range was announced in 2006 believe it could harm the visual landscape.

New Zealand Wind Energy Association chief executive Eric Pyle said the decision was a "positive move" that showed the industry was learning more about the best location for wind farms.

Meridian's move would not have a significant impact on the industry as the company had other "attractive" wind projects that it was working on.

Pyle believes the decision will not make it harder for other wind farms to be set up in rural areas.

"There have been other wind farms in New Zealand which have gone through the consenting process and with good community support," he said.

"You've got to get the local community on side and the residents on side before you go ahead with a project like this," said Green Party energy spokesman Gareth Hughes.

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Tags: wind farm industry, Lammermoor Range, Environment Court