Energy in New Zealand

Despite abundant natural resources and a relatively small population, New Zealand is a net importer of energy, in the form of petroleum products.

[4][5] Under the Paris Agreement, New Zealand has committed to reducing net greenhouse gas (GHG) emissions by 50% from 2005 levels by 2030, guided by the Climate Change Response (Zero Carbon) Amendment Act 2019.

[6][7] The country's decarbonization strategy prioritizes the electrification of essential sectors, including buildings, transport, and industry, using renewable energy sources.

[6][7] In 2021, New Zealand's Total Energy Supply (TES) amounted to 829.3 petajoules (PJ), marking an 11% increase compared to 2011.

The energy supply composition highlighted a diverse range of sources, with renewables being the largest contributor at approximately 42%, followed by oil at 34%, natural gas at 17%, and coal contributing about 7%.

In 2022, the New Zealand Government proposed a policy aimed at reducing coal usage in response to environmental and sustainability concerns.

Exploration for oil and gas reserves includes the Great South Basin and offshore areas near Canterbury and Gisborne.

Since 2017, the oil sector has experienced significant changes, including the closure of the country's only refinery and the cessation of new offshore production licences in 2018, aligning with emissions reduction goals.

[6][7] Studies have shown that it is technically feasible to provide 100% of the electricity demand by renewable power without risking with shortages in energy supply.

[12][13] In 2021, New Zealand's Total Final Consumption (TFC) of energy amounted to 559.8 petajoules (PJ), marking a 7% rise since 2011.