Vic Crockford analyses the government’s response to the Frontier Economics report

New Zealand's Energy Crisis: What the Frontier Economics Report Means for Kiwi Households and Businesses

The government's response to the Frontier Economics report has sparked debate across New Zealand's energy sector. While addressing key concerns like dry year risk, gas shortages, and Lake Onslow, the tepid political reaction overlooks a critical reality: electricity bills are forcing Kiwis to go hungry and businesses to close.

Energy industry expert Vic Crockford identifies eroding social license as the sector's biggest challenge. With power costs now the second-largest financial stressor after rent for vulnerable New Zealanders, and consumer prices outpacing income growth, public skepticism about our energy system is intensifying.

However, promising developments emerge from the announcement. A strengthened Electricity Authority with greater monitoring powers, combined with government investment in community energy projects and locational generation solutions, signals potential for innovation. Iwi-led and community-governed energy initiatives are already demonstrating how local power generation can reduce costs and grid demand.

For New Zealand's energy future, three priorities emerge: transparent stakeholder engagement, strategic positioning for government funding opportunities, and regulatory readiness for enhanced Authority oversight.

Learn more about how energy policy impacts New Zealand communities and businesses.