Fonterra opens first electrode boiler at Edendale site to reduce emissions
Fonterra has officially opened the first electrode boiler at its Edendale site – its southernmost dairy processing facility.
The co-operative will also invest a further $70 million in two new electrode boilers at the site, to replace two fuelled by coal.
Once complete, these upgrades are expected to reduce emissions at the site by approximately 72,800 tonnes of carbon dioxide equivalent (CO₂e) – on par with removing 30,000 cars from New Zealand roads.
The new boilers will provide renewable energy to support milk processing and future growth at Edendale, including additional power and steam heat capacity for the new UHT plant currently under construction.
Fonterra chief operating officer Anna Palairet said the investment was a key step in strengthening operations at Edendale.
“Investing in renewable energy solutions, such as electrode boilers, will help ensure we can continue to process milk efficiently both now and in the future.”
The investment also supports Fonterra’s broader decarbonisation and emissions reduction strategy, which targets a 50.4% absolute reduction of Scope 1 and 2 greenhouse gas emissions by 2030, from a 2018 baseline.
Once the Edendale project is complete, it is forecast that the co-operative’s Scope 1 and 2 greenhouse gas emissions will be lower by about 4% compared to 2018 levels.
Andrew Johns, Fonterra’s general manager operations – lower South Island, said it was an exciting time for the site, with major investments shaping Edendale’s future.
“With the new UHT plant coming online in 2026, the recently installed electrode boiler and now two more electrode boilers on the way, there’s a real sense of progress here at Edendale.”
He added that the investment would also boost the local economy.
“Where possible, we will be engaging with local contractors, and we expect over 400 people from Southland and wider New Zealand to be part of the team on site delivering this investment.”
Minister for Climate Change and Energy Simon Watts officially opened the existing plant.
He said the private sector had a leading role in increasing clean energy and meeting New Zealand’s emissions targets.
“I am thrilled to see Fonterra building their renewable energy capacity and getting one step closer to meeting their decarbonisation goals.”
Construction is set to commence shortly, with the new boilers expected to be operational by August 2027.