Gas is not going; it’s just changing!
In New Zealand, while the exact timeline of gas usage is evolving, it’s not being phased out in the foreseeable future. Instead, the focus is on transitioning to more sustainable and renewable gas sources like biogas and green hydrogen. The goal is to reduce carbon emissions in the gas network, with the expectation that renewable gas will become the primary source by 2050.
Here’s a more detailed look:
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Natural gas and LPG will continue to be delivered to existing customers:
This means that if you have gas appliances, they will continue to be supplied until a full transition to new, low-carbon gases is achieved.
- Renewable gas solutions are being explored:
Powerco is investigating renewable gas options like biomethane (biogas).
- Biogas is a key focus:
New Zealand has the potential to produce significant amounts of biogas from waste, which can be a valuable resource.
- Green hydrogen is another possibility:
This can be produced from renewable energy sources, making it a cleaner alternative to natural gas.
- The transition will be phased:
The introduction of new, low-carbon gases will likely start in the next 3-5 years, with a full transition to 100% future gases by 2050.
- Gas will still play a role:
While the role of gas in the electricity system will change, it will continue to be important for security of supply, especially during periods of high demand.
- How much gas are we actually using:
Domestically, households and small consumers in New Zealand use a very small fraction of the natural gas supply. This amount is roughly five percent. The majority of New Zealand’s natural gas is used by industry and for electricity generation, with around 10% of the nation’s electricity typically being generated by natural gas.