Press Release | Auckland, New Zealand | 20.05.2025 | 2 min read
Hitachi Energy’s pioneering technology provides voltage control and grid stability to cope with rising clean energy demand
Hitachi Energy will power the second stage of Transpower’s grid transformation project on New Zealand’s North Island at the Ōtāhuhu substation in Auckland. The advanced technology, SVC Light® STATCOM (static synchronous compensator), will provide stability and voltage control to the North Island electric grid, as demand for clean energy accelerates due to the electrification of industry and transportation, data centers, and population growth.
Transpower owns and operates the national grid in New Zealand, where electricity usage is forecast to grow by approximately 70 percent by 2050. Innovative technologies like STATCOM are required to keep up with load growth and maintain system resilience while paving the way for more renewable energy integration.
The second grid stability device, a ±150MVAr STATCOM, will be provided by Hitachi Energy at the Ōtāhuhu substation, which is a major node of high-voltage electricity lines and related infrastructure. STATCOM is an innovative technology that uses power electronics to provide variable reactive power in response to voltage variations, supporting the grid’s stability while the energy mix evolves.
“Voltage control in this region is a growing challenge due to the retirement of fossil-fueled generation, a reduction in system inertia, and the real projected growth in demand for electricity,” said Matt Webb, Executive General Manager Grid Development at Transpower.
“The Ōtāhuhu STATCOM provides much-needed voltage support, which enables us to deliver power over relatively long transmission lines into Auckland, our largest metropolitan area.”
“Since we began work on stage one of this project in 2021, the speed of change in the electricity landscape in the North Island has increased with greater electrification of industry and transportation, new data centers, and major new residential developments. All these factors have combined to trigger this investment sooner than originally anticipated. ”
The installation of the Ōtāhuhu Dynamic Reactive Plant (DRP) follows Hitachi Energy’s successful commissioning of the Hamilton DRP, also a ±150MVAr STATCOM, as part of the Waikato Upper North Island Voltage Management project. The Hamilton DRP, operational since July 2023, was the first site to deploy a STATCOM technology solution in New Zealand at this scale.
Webb said, “The Ōtāhuhu STATCOM provides much-needed voltage support, which enables us to deliver power over relatively long transmission lines into Auckland, our largest metropolitan area.”
SVC Light® STATCOM is part of Hitachi Energy’s Grid-enSure™ portfolio. This fully integrated portfolio comprises leading-edge solutions based on power electronics and advanced control systems that safely protect grid stability, reliability, and power quality as the transition to renewable energy accelerates.
“Our SVC Light® STATCOMs are a proven technology for improving voltage support. Leveraging Hitachi Energy’s pioneering technology will help Transpower integrate renewables and maximize the value of assets on high-voltage electricity grids, thereby bringing clean and reliable power to all New Zealanders.”
The Hamilton and Ōtāhuhu substations use Hitachi Energy’s innovative SVC Light® STATCOM technology, which increases power transfer capability by enhancing voltage stability to maintain a smooth voltage profile under different network conditions.
Hitachi Energy is a global technology leader in electrification, powering a sustainable energy future with innovative power grid technologies with digital at the core. Over three billion people depend on our technologies to power their daily lives. With over a century in pioneering mission-critical technologies like high-voltage, transformers, automation, and power electronics, we are addressing the most urgent energy challenge of our time – balancing soaring electricity demand, while decarbonizing the power system. With an unparalleled installed base in over 140 countries, we co-create and build long-term partnerships across the utility, industry, transportation, data centers, and infrastructure sectors. Headquartered in Switzerland, we employ over 50,000 people in 60 countries and generate revenues of around $16 billion USD.
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Through its Social Innovation Business (SIB) that brings together IT, OT (Operational Technology) and products, Hitachi contributes to a harmonized society where the environment, wellbeing, and economic growth are in balance. Hitachi operates globally in four sectors – Digital Systems & Services, Energy, Mobility, and Connective Industries – and the Strategic SIB Business Unit for new growth businesses. With Lumada at its core, Hitachi generates value from integrating data, technology and domain knowledge to solve customer and social challenges. Revenues for FY2024 (ended March 31, 2025) totaled 9,783.3 billion yen, with 618 consolidated subsidiaries and approximately 280,000 employees worldwide. Visit us at https://www.hitachi.com.
