Powerco joins Chorus to enhance Coromandel fibre network

Powerco has entered into an agreement with telecommunications company Chorus to utilise spare capacity on its new 164-kilometre dark fibre asset in the Coromandel.

The electricity distribution company is installing the fibre around its Coromandel network as part of an initiative to enhance the resilience of its customers' electricity supply. Upon completion, the fibre will relay data to and from Powerco's Network Operations Centre in Taranaki, enabling capabilities such as remote switching, demand monitoring, and outage identification.

In addition to enhancing the reliability of power supply, the project will benefit customers in other ways.

"We knew we needed fibre to enable the flow of data from the smart tech we're installing on our network. But we also wondered what else it could be used for," Eric Pellicer, General Manager Business Development at Powerco, said.

This led to the agreement with Chorus to use some of the spare capacity, where available, to bolster capacity between existing telecommunications exchanges.

"This arrangement is good news for customers—maximising the use of the asset and spreading the cost of it."

Colin McCoy, Head of Network Technology at Chorus, reiterated this sentiment.

"As part of our sustainability efforts, we're always on the lookout for where we can renew our aging fibre assets," he said. "In this case, we identified the need to replace our fibre cable around the Coromandel and explored a range of options that led us to this opportunity with Powerco."

"Our collaboration with Eric and the team has been seamless. By sharing the asset, we're maintaining our footprint efficiently in the region while giving Kiwis access to improved connectivity," he said.

Powerco sees this as an opportunity to test a new delivery model that could be replicated for future projects.

"The Coromandel fibre project is a good test for us to prove this delivery model can work. There's plenty of infrastructure investment needed in Aotearoa and finding ways to deliver it effectively and efficiently like this is crucial," Pellicer said. "Collaborating with other infrastructure owners and operators to socialise the cost of investment is one way to do that."

"Thanks to the success of this project, we'll be looking for similar opportunities to deliver projects where there is alignment. We have proven delivery muscle and we're here to use it to meet the infrastructure challenges in Aotearoa."

The installation work, being carried out by contractors Northpower on behalf of Powerco, is progressing well. Most of the fibre is being installed on Powerco's existing overhead network, with underground cables being used where necessary. The completion of this project is expected later in 2024, subject to weather conditions.

Powerco, New Zealand's second-largest electricity and gas distribution utility, serves over 900,000 customers with a network spanning regions such as Western Bay of Plenty, Thames, Coromandel, Eastern and Southern Waikato, Taranaki, Whanganui, Rangitikei, Manawatū, and the Wairarapa. Its gas pipeline networks cover areas including Taranaki, Hutt Valley, Porirua, Wellington, Horowhenua, Manawatū, and Hawke's Bay.