New Zealand’s current store of natural gas is diminishing far faster than originally anticipated — with supply now projected to run out by 2026, three years earlier than previously forecast.

Electrify Wānaka co-founder Jonathan Holmes says shrinking supply will drive up gas prices, affecting homeowners who rely on gas for water heating and cooking.

Recently revised MBIE data revealed New Zealand’s natural gas supplies have already fallen 27 percent since 2024 and, although the government is investing in new fields, they won’t deliver immediate relief.

Jonathan says rising costs are inevitable and transitioning homeowners away from gas is one of Electrify Wānaka’s key priorities.

“There is a lot of uncertainty where New Zealand’s gas for industry and households will come from, but we can probably expect it to rise in cost considerably,” he said.

He acknowledged electricity prices are also climbing but said electric hot water or heating systems and induction cooktops will still be cheaper to operate over their lifetime than gas.

Another Electrify Wānaka goal is to encourage locals to offset increasing electricity costs by adding solar panels and battery storage to homes.

Central Otago and Upper Clutha homeowners already pay some of the highest electricity charges in the country, higher even than Queenstown and Dunedin.

Local electricity network provider Aurora Energy’s pricing schedule shows an increase of its daily fixed rate for line charges in April this year from 60c/day to 75c/day; also its peak power usage charge for this district went up to over 26c/kWh.

Jonathan uses a drop saw powered by an electric vehicle at a recent Mitre 10 MEGA display.

In comparison, Dunedin homeowners only pay 16c/kWh and Queenstown only 19.27c/kWh for the same peak power.

And in November, it was announced those charges are set to increase further every year from 2026 to 2030 to pay for Aurora’s required investment in infrastructure.

Homeowners generating their own solar power will help combat these price increases, Jonathan said.

“If you’re building a new home then it's easy to include solar in the plans,” he said.

Central government has just changed the Building Act to allow most rooftop solar installations up to 40m2 to be added to existing homes and commercial buildings without requiring a building consent.

Jonathan said adding solar to a home is a significant investment but “we have data which shows that investment is repaid over a period of time.”

“It also adds value to the home.”

While switching from gas to electric appliances will save money, homeowners will benefit the most if they can offset their power consumption with rooftop solar and a fully electric car.

“Solar panels have dropped considerably in price over recent years and EVs have reached cost parity with petrol and diesel vehicles,” he said, adding that some banks are also offering 0-1 percent loans for sustainable purchases, such as EVs and solar.

Using renewable energy is “not just an environmental argument anymore; it's also an economic one”, he said.

For further information about switching to electric or adding a solar rooftop system email [email protected] or contact the group via Facebook.

PHOTOS: Supplied