New Zealand Energy Strategy

A modern, affordable and secure energy system is fundamental to building a stronger and more productive economy. 

New Zealand’s energy system has served us well to date and our long-term energy outlook is positive. However, new challenges are emerging as our energy system undergoes fundamental change. For example, demand for electricity is expected to increase significantly by 2050 and meeting this demand will require a huge increase in investment in generation and networks, running into many tens of billions of dollars. 

The significant changes underway in our electricity system bring new challenges. For example, most of the new renewable electricity generation is expected to come from wind and solar generation which doesn’t always run. To keep the lights on as we shift to more renewable generation, we also need more generation that runs when it’s not windy or the sun isn’t shining, as well as energy stored for when our lakes are low. Fossil fuels are expected to continue playing this critical role for the time being, albeit contributing a smaller proportion of total electricity supply than they have in the past. 

Ensuring security of supply and affordability as the energy system decarbonises is crucial. The Government’s approach is to remove barriers, provide certainty and ensure incentives are aligned across the system. 

MBIE is continuing to progress work on an energy strategy that will set out the Government’s role in creating an energy system that is fit for the future.

We will be updating this page over the course of the year.

The strategy will be published by the end of 2024.