A new power station called Te Mihi is being unveiled at Wairakei today.

It's Contact Energy's newest geothermal power station and will reduce its reliance on fossil fuels.

Contact CEO Dennis Banes says the power station is the newest breed of power generation turbine you can get.

"What it means for us now is that a much greater percentage our production is renewable and we'll be using our gas fired power stations a lot less. So it displaces fossil fuel."