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New Zealand Engineering 1998 March
New Zealand Engineering</h3>
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<strong>Solid Energy
an SOE success story
<HR></strong><FONT COLOR="#B2B2B2">Company
profile</p>
<p><IMG SRC="../gifs/solid.JPG" HSPACE=10 NOSAVE HEIGHT=168 WIDTH=156 ALIGN=RIGHT>In
the 10 years since the creation of the state-owned enterprise, Solid Energy,
the former State Coal has become New Zealand's leading coal processor,
exporter and marketer. Solid Energy sells approximately three million tonnes
of coal annually while exports have grown from almost zero to around 1.5
million tonnes a year. Last year the company's sales exceeded $200 million.</p>
<p>Corporatisation has turned Solid Energy from a production oriented government
department to a company with an emphasis on quality and service, driven
by its customers.</p>
<p>This successful change in focus and a forecast increase in the demand
for electricity ensures Solid Energy's role as a long-term energy supplier
to the New Zealand and international markets.</p>
<p>Coal is the world's most readily available fuel and will remain an important
source of energy next century. New technology means nature's "black diamond"
is an efficient and environmentally sound energy provider.</p>
<p>In New Zealand increasing demand for electricity and decreasing natural
gas resources may create an energy gap as soon as 2005. With alternative
energy technology, such as solar and wind power still in its
<br />development stage, coal is a very attractive energy option.</p>
<p>Overseas, the certainty of supply and new Pressurised Fluidised Bed
Combustion technology is increasing the energy yields from coal for electricity
generation and reducing emissions. Environmentally aware countries are
adopting this technology to provide electricity needs.</p>
<p>Solid Energy is constantly monitoring technological developments to
improve its performance. Currently the company is investigating ways of
reducing its transport costs by improving access to overseas markets. The
bulk of its export production is railed from the West Coast to the Port
of Lyttelton for export overseas. Transporting the coal costs more than
its extraction. Reducing transport costs will make Solid Energy's quality
New Zealand coals more attractive to overseas buyers.</p>
<p>Solid Energy has completed a feasibility study into building a 2.2 kilometre
jetty and coal handling facility at Westport, reducing the cost of its
export coal from among the highest quartile in world prices to the among
the lowest. Resource consents for the West Coast Coal Terminal were granted
last December and a final decision on the project will be made in 1998.
Technical studies show the terminal is viable.</p>
<p>The company's marketing drive internationally and at home has sharpened
its technical operations. A $14 million blending plant, opened in Rotowaro
last March, is a recent example of Solid Energy's use of the latest technology
to meet the demands of customers while increasing its own efficiency. The
needs of smaller customers also receive careful attention.</p>
<p>Solid Energy's technical team specialises in fine tuning boilers to
meet specific requirements and providing ongoing equipment servicing and
advice. Specialist Solid Energy teams are available to give not only technical
advice but also environmental advice and recommendations to companies seeking
Resource Management Act consents.</p>
<p>Solid Energy is mindful of its environmental responsibilities with a
comprehensive environmental policy in operation on all significant company
sites. This includes dust and noise control, water run-off monitoring and
purification, and ongoing site rehabilitation. Where mining has ceased
the company has a policy of rehabilitating land to its original state.
The company has also supported the development of coal fired, domestic
heating burners that meet the highest standards currently in place for
air emissions in New Zealand.</p>
<p><em>Material supplied by Solid Energy</em></p>
<HR>
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