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RNZ's Kate Newton reports on the "madness" of thousands of new piped gas connections being installed into houses every year, despite dwindling supplies and higher lifetime costs.
Casey said it was positive that the numbers showed people starting to leave the gas network of their own accord, but not all households were in a position to make that choice.
"If we don't plan for a decommissioning of the gas network, then it's going to be a chaotic transition, where vulnerable New Zealanders really suffer."
As the research of Rewiring and others has shown, gas is expensive, it's getting more expensive, it's terrible for your health when burned inside and there are substitutes available right now that, on average, do the same job for less money over the long run for households, would save the country billions on health costs and lost productivity, and don't pump out unnecessary emissions.
Around 300,000 homes and businesses have connections to the gas network (it’s estimated another 300,000 use more expensive bottled gas, mostly in the South Island). The number of active connections has started to decline recently and the country’s largest gas network, Vector, is forecasting no new residential or commercial connections after 2029.
Upfront capital costs are the main barrier for many homes, which is why we're working hard on a low-interest, long-term loan scheme that can be used to pay for electric upgrades, including hot water heat pumps. This would mean paying for a new thing with a loan would be cheaper than paying to run the old thing.
Read more about the scheme here.
Disconnection costs are also a major barrier. We have seen examples where households permanently disconnecting from the network have been charged between $1,000 and $2,000 to have a meter permanently removed (i.e. digging up the pipes to the road), even though it should only cost customers $200 to have the connection capped at the house.
RNZ even reported a case where a business customer was quoted $7,500 but took the case to Utilities Disputes, where complaints about disconnection costs have been rising.
The Australian Energy Regulator and the state of Victoria have now capped the disconnection fees to a few hundred dollars to stop this kind of behaviour and protect households.
Along with taxes, education and health, energy is proving to be a big talking point in the run up to the election .. which is now 33 days away. All the political parties have released some energy policies .. and while they're quite varied in their approaches .. the main focus seems to be bringing down the cost of electricity for us consumers. Our first guest would like electric transport to also be part of the conversation .. he's calling for a 'great EV comeback' and has some ideas about how to make it happen. Mike Casey, Rewiring Aotearoa Chief Executive joins Jesse.
The electric election continues apace! National announced its 'Electrify NZ 2.0 plan' last week and Mike Casey joined Andrew Dickens on Newstalk ZB to talk about the potential for peer-to-peer trading of energy, the roll of solar in lowering power prices, data centres needing to bring their own generation, and the likelihood that all this talk will turn into action.