The 'Electric Election': energy policies, side by side
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We love a tipping point at Rewiring. We reached an important one last year when our Electric Home research showed that New Zealand was one of the first countries in the world where buying and running electric machines in your home was cheaper than gas and petrol equivalents. And we may have reached another one recently because residential gas connections have dropped from 291,586 in mid-December to 290,530 in mid-April.
Given expected average price increases of around 10% per year, the lack of options customers now have to shift suppliers, and the potential savings from going electric, we're predicting they will keep dropping as we enter what's known as the 'gas death spiral'.
It's important to note that a small proportion of our total gas supply is used by homes. Most of it is used for industry and electricity generation, and there was a bit of a shake-up in 2024 when we dealth with a dry year and a gas shortage.
But it's also important to note that gas in homes makes no sense: it's more expensive, you need to pay more to give your kids asthma, and it's worse for the environment.
Unfortunately, New Zealanders who want to disconnect from the gas network are being confronted with exorbitant costs. Consumer NZ is doing some good work policing the fees being charged to customers, but more needs to be done to reduce them. And more needs to be done to ensure those who are forced to remain on the network aren't burdened by the costs of maintaining it.
If your gas water heater, gas fire or gas cooktop are getting on a bit, don't invest in the wrong tech and get locked into another 15 years of rising prices and unnecessary emissions. Make your next purchasing decision electric.
Check out TVNZ's piece on rising gas prices here https://loom.ly/kR4YpLc
And RNZ's reporting here https://loom.ly/YcTOb5c
Politicians are being urged to adopt stronger electric vehicle incentives ahead of the election. Climate and energy advocacy group Rewiring Aotearoa is arguing that EVs are one of the most effective long-term solutions for rising transport and energy costs. They're promoting an EV Salary Boost proposal, which would allow workers to access EVs through pre-tax salary arrangements – similarly to already existing schemes in the UK and Australia. Policy and Government Relations Spokesperson Ngaio Neumegen told Kerre Woodham that even with the rising cost of power, it's still cheaper to run an EV than a car running on imported fuel.
A proposal that would let New Zealanders lease an electric car using their before-tax pay has not won a commitment from either National or Labour, with the 7 November election days away. Under the EV Salary Boost, put forward by Rewiring Aotearoa and Drive Electric, an employee would lease a new or used EV for three to five years. The payments would come out of their pay before tax, lowering the cost of running the car. The idea is based on Australia’s novated leasing system, though the groups say they are not proposing a direct copy.
Read moreDownloadDrive Electric says responses from National, Labour, the Green Party and The Opportunity Party show there is a foundation for more stable, long-term transport electrification policy after the election. This is a $120 billion opportunity over the next decade to reduce our dependence on importing fossil fuels.
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