Affordable, low-carbon heating at Tewa Banks, Arrowtown, New Zealand

Ground source heat pumps for sustainable housing in New Zealand

Tewa Banks, a landmark housing development in Arrowtown, New Zealand, is setting a new benchmark for low-carbon, affordable living. It’s the first project in the Southern Hemisphere to install aA decarbonisation solution for over 60% of UK homesNetworked Heat Pumps networked heat pump system using ShoeboxProductKensa Shoebox heat pumps—offering residents sustainable heating and hot water at a fraction of the usual cost.

The development was inaugurated by Housing Minster, Chris Bishop.

A community-first approach to renewable heating

With over 1,300 households on the Queenstown Lakes District waiting list, the need for energy-efficient, affordable homes is urgent. The Queenstown Lakes Community Housing Trust developed Tewa Banks to meet that need, providing homes that are warm, future-ready, and low-cost to run.

Kensa's system was chosen to deliver a heating system that works quietly in the background, cutting bills and carbon emissions, without compromising comfort.

How Kensa's networked heat pump system works

At the heart of the project is a networked heat pump system:

• What are Ground Source Heat Pump Boreholes?BoreholesBoreholes drilled across the site extract low-grade heat from the ground
• A network of underground pipes distributes that heat to individual homes
• Each property has its own Kensa Shoebox heat pump, offering independent control through standard thermostats and timers

This setup combines the efficiency of a central system with the independence of individual units, making it ideal for affordable housing.

Smart phasing and seamless installation

At Tewa Banks, the heating infrastructure was carefully planned to fit the build schedule. Boreholes were drilled early, and as each home was completed, it was connected to the network, keeping everything on track and avoiding delays.

The Kensa Shoebox heat pumps installed in every home are remotely monitored, so there’s:

• No need for residents to manage the system
• No requirement for routine servicing
• Real-time updates and performance checks handled remotely

Local partnership, global innovation

This project brought together local expertise and international know-how. Kensa’s founder, Richard Freeborn, visited the site alongside Steve Jarvis from Therma, the trusted local installer, to mark the project’s progress.

Delivering long-term value and sustainability

Tewa Banks shows how low-carbon heating can deliver more than just environmental benefits:

• Supports New Zealand’s carbon reduction goals
• Cuts energy bills for residents
• Demonstrates scalable heating infrastructure for future developments

The first homes, designed for older residents, are already occupied. Stage one of the build will be completed in February 2025, and all 68 homes are due by 2026. These homes offer a variety of ownership and rental models, ensuring accessibility for a diverse range of households.

Why they chose Kensa

Tewa Banks represents a new era of heating technology in New Zealand, showcasing Kensa’s commitment to affordable, efficient, and sustainable solutions. This project reinforces Kensa’s global leadership in renewable heating systems, delivering not just homes, but a better way of living.