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New Zealand Shortlists Two Providers for Port Taranaki LNG Import Terminal

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The New Zealand government has shortlisted two companies to build a liquefied natural gas import facility at Port Taranaki, aiming for a 2028 operational launch to deal with domestic gas shortages as demand for electricity grows.

Speaking at the Auckland Business Chamber, Energy Minister Simeon Brown confirmed on Tuesday that both proposals would make use of Port Taranaki.

Since the LNG import strategy was first unveiled in February 2026, wholesale electricity prices for 2028 and 2029 contracts have retreated by roughly $20/MWh, generating an estimated $800 million in annual systemic savings, it stated.

The state expects to select its preferred developer later this year, targeting an operational launch by 2028 to mitigate acute "dry-year" reductions in hydropower output.

Given the rapid decline of New Zealand's domestic natural gas reserves, policymakers warned that entering a low-rainfall season without import infrastructure would trigger severe wholesale price spikes, industrial factory closures, and rolling blackouts, as per the statement.

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