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On The Detail podcast, Sharon Brettkelly talks to Consumer's Paul Fuge about dwindling gas reserves, rising prices and why relying on new gas discoveries is a mug's game.
"It costs more to have gas than electricity so an electricity-only house is much cheaper to run than a gas-electricity house because you can substitute all your gas appliances for electric appliances ... but you can't run a TV on gas or your lights on gas," Fuge says.
That means gas customers have to have an electricity connection, which means double the costs of the infrastructure - gas pipes and electricity lines - needed to deliver the energy to people's homes.
Gas customers are also locked out of cheaper electricity plans because most gas suppliers also demand that customers take their electricity. The companies that provide cheap electricity don't provide gas, Fuge says.
Add to that the phasing out of low electricity charges for low users, which was a benefit for gas customers.
"What that means is people's electricity connections for the low users are getting more expensive every year over five years and that disadvantages gas customers," he says.
High fuel prices are hurting different demographics in different ways. We've seen stories of low-income households having to choose between food and transport; businesses reliant on diesel that are on the brink as margins shrink; and now, those in rural districts spending "as much as five times more of their household budgets on fuel than city dwellers".
Paul Spain heads to Central Otago to meet Mike Casey at Electric Cherries, exploring what happens when tech thinking meets hands‑on farming. Mike shares his journey from scaling tech startups in Sydney to creating New Zealand’s first fully electric cherry orchard, powered by onsite solar to reduce energy costs and build long‑term resilience. The conversation dives into the real economics of electrification, smart infrastructure choices, and how practical technology decisions can unlock productivity, sustainability, and future growth for New Zealand businesses.
Read moreDownloadThe OECD has just released its 2026 report on New Zealand's economy. And when it comes to energy, it basically gave us a 'must try harder' grade. On the proposed LNG terminal - which, remarkably, is still not dead yet despite all evidence suggesting it should be - the OECD said, as we have said, that it would not serve its intended function of lowering prices.
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