In 2025, the average cost of electricity for residential use was around ***** New Zealand cents per kilowatt-hour. This was a slight increase in the cost of electricity reported in the previous year. New Zealand’s electricity consumption While the leading sector to consume electricity in New Zealand is the residential sector, the industrial electricity consumption follows closely. A slight decrease in consumption has been observed in both sectors. Although the main primary energy supply of New Zealand is sourced from oil, the electricity generation of the country has already become much greener. New Zealand uses an increasing share of renewable energy in its electricity sector, with over ***percent of the electricity production generated by renewable energy. Leading energy source: Hydropower In the distribution of energy sources used for electricity production, hydroelectric power plants generated more than half of the country's electricity. The production of electricity from hydropower has been rising significantly, only experiencing a slight decrease in 2024, while the country saw a decline in the use of fossil fuels. The increased use of hydropower can also be linked to climate change. In 2022, New Zealand experienced the warmest and wettest year on record, resulting in high hydrolake inflows.

In 2025, the average cost of electricity for industrial use was around ***** New Zealand cents per kilowatt hour. This was an increase in the electricity cost compared to the previous year.

New Zealand NZ: Industry Electricity Price: USD per kWh data was reported at 0.090 USD/kWh in 2023. This stayed constant from the previous number of 0.090 USD/kWh for 2022. New Zealand NZ: Industry Electricity Price: USD per kWh data is updated yearly, averaging 0.070 USD/kWh from Dec 1990 (Median) to 2023, with 34 observations. The data reached an all-time high of 0.100 USD/kWh in 2021 and a record low of 0.060 USD/kWh in 2001. New Zealand NZ: Industry Electricity Price: USD per kWh data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s New Zealand – Table NZ.OECD.GGI: Environmental: Environmental Policy, Taxes and Transfers: OECD Member: Annual.

In 2025, the average cost of electricity for commercial use was around ***** New Zealand cents per kilowatt hour. This represented an increase in the electricity cost in that sector compared with the previous year.

The QSDEP is a price indicator series that complements sales-based electricity cost data. The QSDEP indicator is a measure of how the published residential electricity tariffs have changed over time.

The Electricity Retailing industry in New Zealand has experienced a challenging five-year period, marked by volatile wholesale markets, relatively flat demand growth and tightening margins. Between 2020-21 and 2022-23, surging wholesale electricity prices created significant cost pressures for retailers, particularly those without generation assets. While retail electricity prices have risen in recent years, they’ve failed to keep pace with earlier wholesale price spikes, leading to a drop in profit margins across the industry. Industry revenue is expected to climb at a modest annualised rate of 2.2% over the five years through 2025-26 to reach $9.8 billion. This includes an anticipated 2.2% rise in 2025-26, driven by stronger demand from households and businesses and modest increases in retail tariffs. Higher billed volumes, supported by recent capacity additions and steady consumption growth, have more than offset the drag from easing wholesale prices. Vertically integrated gentailers like Meridian Energy and Mercury have performed better than standalone retailers. These gentailers have leveraged their renewable generation portfolios to buffer their retail businesses from market volatility, generating strong wholesale returns during periods of tight supply. Both companies have also been early movers in bundling electric vehicle (EV) charging solutions with retail offers, capturing emerging high-margin load segments and strengthening customer loyalty. In contrast, non-gentailers have faced a greater margin squeeze and intensified price-based competition. Regulatory settings have influenced industry dynamics. While distribution and transmission charges remain regulated by the Commerce Commission, the current weighted average cost of capital review has slowed increases in network costs, providing some relief to retailers. However, tighter regulation and the repeal of the low fixed charge tariff regime have shifted pricing dynamics, with retailers adjusting strategies to remain competitive. Looking ahead, industry revenue is forecast to jump at an annualised 2.8% over the five years through 2030-31 to reach $11.2 billion. The stronger outlook reflects rising household and business electricity use as electric vehicles become more common and the population grows, along with modest retail tariff increases to fund network upgrades. Smart meters and enhanced digital platforms will continue to engage customers more deeply in their energy consumption, lifting overall sales. However, with wholesale costs easing and competition intensifying, retailers will need to offer tailored plans, demand response programs and seamless digital experiences to lock in loyalty and boost profitability.

New Zealand Consumer Price Index (CPI): Weights: HU: Household Energy: Electricity data was reported at 3.620 % in Jun 2018. This stayed constant from the previous number of 3.620 % for Mar 2018. New Zealand Consumer Price Index (CPI): Weights: HU: Household Energy: Electricity data is updated quarterly, averaging 3.910 % from Jun 2006 (Median) to Jun 2018, with 49 observations. The data reached an all-time high of 4.030 % in Jun 2017 and a record low of 3.290 % in Mar 2008. New Zealand Consumer Price Index (CPI): Weights: HU: Household Energy: Electricity data remains active status in CEIC and is reported by Statistics New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.I004: Consumer Price Index: Weights.

Graph and download economic data for Consumer Price Index: OECD Groups: Energy (Fuel, Electricity, and Gasoline): Total for New Zealand (CPGREN01NZA657N) from 1960 to 2022 about New Zealand, fuels, electricity, energy, gas, CPI, price index, indexes, and price.

Producer Price Index: Weights: Input: Electricity, Gas and Water: Electricity and Gas Supply data was reported at 3.200 % in 2024. This records an increase from the previous number of 2.800 % for 2023. Producer Price Index: Weights: Input: Electricity, Gas and Water: Electricity and Gas Supply data is updated yearly, averaging 3.750 % from Mar 2015 (Median) to 2024, with 10 observations. The data reached an all-time high of 4.700 % in 2015 and a record low of 2.800 % in 2023. Producer Price Index: Weights: Input: Electricity, Gas and Water: Electricity and Gas Supply data remains active status in CEIC and is reported by Statistics New Zealand. The data is categorized under Global Database’s New Zealand – Table NZ.I015: Producer Price Index: Weights.

Graph and download economic data for Consumer Price Index: Housing, Water, Electricity, Gas and Other Fuels (COICOP 04): Electricity, Gas and Other Fuels: Total for New Zealand (NZLCP040500GPQ) from Q1 1960 to Q3 2023 about water, New Zealand, fuels, electricity, gas, CPI, price index, indexes, and price.

This report analyses the wholesale price of electricity in the spot market. The prices shown are an average across all market regions in New Zealand (Aotearoa) and are sourced from the Electricity Authority (Te Mana Hiko). The historical data for this report uses the monthly demand-weighted average over each financial year and is measured in dollars per megawatt hour.

This report analyses the price paid by commercial consumers to acquire electricity. The data for this report is sourced from Stats NZ (Tatauranga Aotearoa). The historical data for this report uses the average value of a quarterly index over each financial year and is measured in index points. The electricity service price is presented as an index with a base year of 2023-24.

Summary

This schedule presents the results of the Ministry's Quarterly Survey of Domestic Electricity Prices (QSDEP).This schedule presents the results of the Ministry's Quarterly Survey of Domestic Electricity Prices (QSDEP).

Note

      This content was directly extracted
      from the New Zealand government's website:
      http://www.newzealand.govt.nz/ by a machine,
      please refer to the source for accurate and
      timely information.

New Zealand GDP per Unit of Energy Use: 2021 Price: PPP per Kg of Oil Equivalent data was reported at 13.338 Intl $/kg in 2023. This records an increase from the previous number of 13.193 Intl $/kg for 2022. New Zealand GDP per Unit of Energy Use: 2021 Price: PPP per Kg of Oil Equivalent data is updated yearly, averaging 9.933 Intl $/kg from Dec 1990 (Median) to 2023, with 34 observations. The data reached an all-time high of 13.338 Intl $/kg in 2023 and a record low of 7.536 Intl $/kg in 1992. New Zealand GDP per Unit of Energy Use: 2021 Price: PPP per Kg of Oil Equivalent data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s New Zealand – Table NZ.World Bank.WDI: Environmental: Energy Production and Consumption. GDP per unit of energy use is the PPP GDP per kilogram of oil equivalent of energy use. PPP GDP is gross domestic product converted to 2021 constant international dollars using purchasing power parity rates. An international dollar has the same purchasing power over GDP as a U.S. dollar has in the United States.;IEA Energy Statistics Data Browser, https://www.iea.org/data-and-statistics/data-tools/energy-statistics-data-browser;Weighted average;

The average electricity supply meter import price stood at $103 per unit in March 2025, falling by -34.6% against the previous month.

New Zealand NZ: Mean Feed in Tariff For Solar PV Electricity Generation data was reported at 0.000 USD/kWh in 2019. This stayed constant from the previous number of 0.000 USD/kWh for 2018. New Zealand NZ: Mean Feed in Tariff For Solar PV Electricity Generation data is updated yearly, averaging 0.000 USD/kWh from Dec 2000 (Median) to 2019, with 20 observations. The data reached an all-time high of 0.000 USD/kWh in 2019 and a record low of 0.000 USD/kWh in 2019. New Zealand NZ: Mean Feed in Tariff For Solar PV Electricity Generation data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s New Zealand – Table NZ.OECD.GGI: Environmental: Environmental Policy, Taxes and Transfers: OECD Member: Annual.

Graph and download economic data for Consumer Price Index: Housing, Water, Electricity, Gas and Other Fuels (COICOP 04): Total for New Zealand (NZLCP040000IXNBQ) from Q2 2006 to Q3 2023 about water, New Zealand, fuels, electricity, gas, CPI, price index, indexes, and price.

Operators in the Geothermal, Wind and Other Electricity Generation industry have faced volatile trading conditions, but very beneficial pricing conditions over the past few years. Disruptions to hydroelectricity and natural gas power stations have caused supply issues, which have led to a sustained period of elevated prices on the wholesale market. Prices have not fallen below $100 per megawatt hour since 2018-19, peaking at an estimated $171 per megawatt hour in 2021-22. In the decade prior to 2018-19, the average annual price on the wholesale market was approximately $67 per megawatt hour. This significant price growth has underpinned a surge in profitability across the industry. High prices also allowed the industry to offset higher costs, as revenue growth outstripped cost increases, while profit margins were also rising. Despite healthy prices overall, disruptions to demand in 2019-20 and a sharp drop in wholesale prices in 2022-23 weighed on industry-wide performances. Overall, industry revenue is expected to increase at an annualised 2.2% over the five years through 2025-26, to $2.2 billion. This trend includes an anticipated fall of 5.2% in 2025-26, driven by a drop in wholesale electricity prices after surging growth the previous two years. Electricity generated by firms in this industry is an increasingly crucial feature of New Zealand’s national electricity mix. Wind and geothermal generators are essential for New Zealand to meet its renewable energy targets. This trend has encouraged several fossil fuel power plants to close, while investment in renewable electricity assets has soared. Key electricity generators, like Meridian and Mercury, have shifted entirely to renewable sources, many of which are included in this industry. The fastest growing segments are wind and solar, which have enabled opportunities for new entrants and driven an increase in enterprise and establishment numbers. Industry revenue is forecast to grow at an annualised 6.2% over the five years through 2030-31, to $2.5 billion. Persistently high prices are expected to meet growth in new generation capacity, especially in the fast-growing segment of wind. A recent long-term power supply contract is set to support the operation of the Tiwai Point Aluminium Smelter until 2044. The potential closure of the smelter has posed a major risk for the industry. It accounts for over 10% of New Zealand's total electricity consumption. If the smelter were to close, wholesale electricity prices would likely plummet, and profitability in this industry would follow suit.

The Ministry monitors national residential electricity costs using information about national electricity sales (essentially total electricity sales divided by the quantity of electricity supplied in kWh).

Graph and download economic data for Consumer Price Index: Housing, Water, Electricity, Gas and Other Fuels (COICOP 04): Maintenance and Repairs of the Dwellings: Total for New Zealand (NZLCP040300GPQ) from Q1 1994 to Q3 2023 about repair, maintenance, water, New Zealand, fuels, electricity, gas, CPI, price index, indexes, and price.