The 'Electric Election': energy policies, side by side
“We need more analysis," said pretty much every incumbent faced with a change that might affect their business and instead benefit customers. And that’s pretty much exactly what the energy incumbents said in their submissions to the Electricity Authority on decentralised energy systems.
Most submitters highlighted the fact that "decentralisation is already happening, offers huge potential benefits, and the criticality of urgent action to ensure outcomes for consumers are protected".
But the incumbents shared "significant reservations and concerns, questioning whether decentralisation is necessary or preferable, and calling for more detailed analysis".
Rewiring Aotearoa supports a decentralised future because we believe it's in the interests of customers and the energy system as a whole. If we don’t adapt and harness new technologies, that line on the electricity price estimates graph will continue its ascent.
We understand why the incumbents would raise questions and employ classic delay tactics. It's in their interests (and their shareholders’ interests) to keep things as they are because lines companies get guaranteed returns on their investments and generators benefit from high wholesale electricity prices and don’t lose sales volume to rooftop solar.
This is why we need good referees in the middle and we hope the EA will be led by the evidence and the real experiences of customers, rather than the loud voices that are trying to protect their patch, holding things back and gradually losing their social licence.
We also need to be careful with the idea of 'continued investment in network infrastructure', which the EA reflected from the submissions as an important aspect of unlocking this decentralised future. This sounds good in theory and we will definitely need some grid upgrades, but more poles and wires are set to make up the biggest chunk of bill increases in the coming years, so we don’t want to over-invest, especially given there is now another option.
If a decentralised solution can play a role in deferring or potentially even avoiding costly upgrades by using existing infrastructure more efficiently and also help manage peaks at a lower cost than new poles and wires, that should be prioritised.
The EA needs to ensure we have smarter pricing, better utilisation rates, more visibility of the low voltage network and smarter network management. And the incumbents need to stop delaying the inevitable.
'Twas the night before Chris-mas, and all through the house, all the voters were stirring, the pundits showing their nous … the election will soon be over, but the energy crisis won't, so we'll be there to pester whoever is in power about the need to run more of the economy on New Zealand-made energy; can Ethiopia's aggressive push for EVs work and how does New Zealand compare in terms of adoption rates?; a two-way charging trial from Genesis shows promise in Auckland, but there's still a way to go before it's mainstream; small electric vehicles are often overlooked when it comes to electrifying transport, but it's hard to miss this weird French one; a solar-powered cafe (and some electric coffee); and we endorse the political vandalism of Keith of All Trades.
Read moreDownloadPoliticians 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 moreDownload
