
Newsroom's Marc Daalder looks into a Gas Industry Company report about the costs of switching to electricity and speaks with Rewiring Aoteaora CEO Mike Casey and others about the 'war of words'.
When it comes to figuring out the costs of moving away from gas, who do you trust?
You could choose to trust the gas industry, which obviously wants to keep New Zealanders high on its supply.
Or you could choose to trust New Zealand households that have chosen to tell an independent organisation working hard to reduce customer energy bills and emissions how much money they’re saving by transitioning to fully electric homes.
Last week, the Gas Industry Company (GIC) released a report on the costs of switching to electricity. Our response was that it was misleading, it made incorrect efficiency comparisons, it used unrealistic assumptions for the uptake of technology like hot water heat pumps, and it completely failed to take account of solar and batteries.
As Casey said: “If you’re very pessimistic about the adoption of solar and batteries and hot water heat pumps, then you could probably draw a similar conclusion to what they’ve drawn. But when you look overseas and see what’s happening in Australia, I think there’s a degree of inevitability around large-scale adoption of efficient electric machines and the ability for us to generate and store electricity ourselves.”
We also questioned the disconnection costs the gas industry was quoting.
“This idea that it costs $2000 to disconnect gas – we know for a fact that it doesn’t take that. It takes probably a couple of hundred dollars. The gas industry wants to quote that price because it adds to the cost of moving off gas which of course makes their numbers look way better.”
The GIC is marking its own homework and cherrypicking numbers here. New Zealand homeowners - and decision makers - should be sprinkling these findings with plenty of salt.
When Mike Casey bought his house near Cromwell, it came with gas bottles on the side of the home for water and an expensive diesel system for the underfloor heating. He replaced both of them with a Steibel Eltron system and it's been saving him money ever since. As technical manager Bhawesh Singh told him at the Electrify Queenstown conference, there has been a big influx in enquiries from homes looking to get off the molecules and onto electrons.
Read moreDownloadConfidence that cutting regulations to make solar power more accessible - won't jeopardise people's safety. A new Regulation Ministry reports laid out a potential blueprint to legalise plug-in solar and reduce the time and cost of panel installation. Rewiring Aotearoa CEO Mike Casey shares his thoughts with Andrew Dickens.
The burgeoning demand for solar was also a chance to address a mismatch between the numbers of training opportunities available and young people searching for work, Casey said. "The mums of New Zealand are telling me that there's not enough apprenticeships for their kids and the solar installers of New Zealand are telling me there's not enough trained people."
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