Are you a Hawke’s Bay resident using natural gas or LPG for your home? Perhaps you’re considering a new gas appliance. Many Kiwis have questions about the future of gas in New Zealand. Good news: gas remains a vital part of our energy mix. Here’s a clear update on what’s happening in 2025.
Gas is Still Essential for Hawke’s Bay Homes
For households in Hawke’s Bay, gas (both piped natural gas and LPG cylinders) continues to be available. It’s used daily for cooking, hot water, and heating. In fact, household and small business use makes up only a small fraction (around 5%) of New Zealand’s total natural gas supply[1].
Why Gas Matters for New Zealand’s Energy Security
Natural gas plays a critical role in New Zealand’s power supply. It provides vital backup for electricity generation. This is especially important when renewable sources like hydro, wind, and solar aren’t fully available. This role will continue as we increase our reliance on intermittent renewables.
Addressing Declining Reserves: Government Action
Recent data from the Ministry of Business, Innovation & Employment (MBIE) shows a faster decline in natural gas reserves than previously forecast. As of January 2025, proven reserves are down 27% from last year. Annual production is now expected to fall below 100 PJ by 2026, three years sooner than thought [2].
To address this, the New Zealand Government has committed $200 million in Budget 2025[3]. This funding is for Crown co-investment in new domestic gas field developments. This move aims to ensure a secure and affordable domestic supply.
The Rise of Renewable Gases: A Greener Future
The gas industry is actively working towards a more sustainable future. This involves a shift towards renewable gas options like biomethane and hydrogen.
- Biomethane: This gas is made from organic waste. It’s already being delivered into existing pipelines in New Zealand’s North Island[4]. This marks a pivotal moment for a low-carbon energy future.
- Hydrogen Blending: Firstgas, alongside other distributors, is running a pilot in 2025[5]. They are blending hydrogen into the natural gas pipeline, starting at 2% and potentially rising to 15%.
Appliances and Connections: No Immediate Ban
There are no current plans to ban new gas connections for homes or businesses. The idea of a ban was advised by the Climate Change Commission, but the government has not acted on it.
If you’re in Hawke’s Bay, you can still connect to the gas network or use LPG. Modern gas appliances, including those from Rinnai, are often designed to run on blends of natural gas with up to 20% renewable hydrogen or biogas. This means your new gas appliance should be compatible with future changes. You can confidently buy and use gas appliances for their expected lifetime[6].
What This Means for Hawke’s Bay Businesses and Home Owners
For gas and LPG customers in Hawke’s Bay, the message is clear:
- Continued Supply: Natural gas and LPG will remain available for your home’s needs for the foreseeable future.
- Future-Ready Appliances: New gas appliances are being designed to adapt to a changing energy mix.
- Transition to Green Gas: The industry is actively investing in renewable gas. This will make your gas use even more sustainable over time.
New Zealand is on a journey to reduce emissions. Gas and LPG, supported by ongoing investment and a shift to renewable alternatives, will play a practical role in this transition. You can continue to rely on gas for warmth, hot water, and cooking in your Hawke’s Bay home. If you’re in the market for a new cooking, hot water or heating appliance – there’s no reason not to include highly efficient Gas and LPG amongst the options you consider.
East Coast Plumbing and Gas combine over 30 years trade experience with membership of the Plumbers, Gasfitters and Drainlayers Board (PGDB) and Master Plumbers, Gasfitters and Drainlayers NZ Inc. If you want to install or service a Natural Gas or LPG appliance in your home or business, call us today on 06 211 6462.
