Energy Minister Pete Hodgson told the New Zealand Wind Energy Association conference yesterday that the tender round would run from late August to mid-October, with awards being announced in December.

"The first round of this program, under which four million units were awarded, proved so successful that we have expanded it to six million," said Hodgson, who is also Convenor of the Ministerial Group on Climate Change.

"Through the program, New Zealand benefits from a net reduction in emissions, the bringing forward of an increase in its renewable energy base and longer term emissions benefits."

Projects to benefit so far include TrustPower's Tararua stage two and Meridian Energy's Te Apiti, New Zealand Windfarms' Te Rere Hau scheme, the Wainui Hills Wind Farm company's Wellington development and Genesis Energy's Hau Nui extension and Awhitu projects.

The units - to support initiatives to reduce greenhouse gas emissions over the first commitment period of the Kyoto Protocol from 2008-12 - are internationally tradable and are awarded to uneconomic projects that would not normally go ahead. Previously awarded units have subsequently sold for over NZ$10 each.

Though wind energy was scheduled to increase 400%, from 40MW to 160MW in the year to April, Hodgson conceded thermal (gas-fired) generation would continue to have an important role to play in the New Zealand energy mix for the foreseeable future.