Development of whole sale power prices in NZ.
Wholesale Power Prices Meet Electricity Bills
The fallout of the winter of 2016 has brought home the importance of wholesale power prices. With electricity bills more than doubling in late 2016, many Kiwis found it hard, not to mention outrageous, to struggle with the skyrocketing prices. If we add here the unpleasant fact that this past winter was, in fact, one of the warmest ones on record, the situation becomes even more complicated. Well, not so complicated as to overlook a simple solution:
Compare power deals and switch to a low user plan today! Glimp has got you covered: compare ALL hottest deals and find the best one for you within minutes!
Power prices NZ to keep skyrocketing, power companies say. What do we do?
As regards power prices NZ, they are certain to go higher, not the other way around. That is, at least, what Flick Energy reported in July. According to the wholesale power company, it is currently facing the worst, sustained prices in its history, resulting in customers getting nearly 50% higher bills. The dry winter period is to blame, company officials say, and the way we can affect weather conditions is not anywhere close to reality. We have to be aware of higher prices coming, the best deals we can possibly get and how to act to keep our bills as low as possible.
What may the solution be, then? We believe the salvation lies in NZ’s long-term plans to become 100% powered by renewable energy by 2025. Until then, we’d best cope with the rising prices, and the most appealing way to do it is by switching to a more affordable plan. Compare best power deals at Glimp and switch today!
Let us hereby explain the difference between the contract types.
Wholesale Power Company Offers
Wholesale power company offers vary in price and availability, as these factors depend on the region and the spot market alike. If you realize you need to decrease your bills but are not sure how to go about doing it, you are by no means alone.
The good news is, there are only two contract types, and these are offered by all power companies in New Zealand. The first type is the standard plan – it has a high daily- and a low variable charge. The other one is the low user plan - it has a high variable- and a low daily fixed charge.
As for wholesale power prices, standard plans' low variable charge varies between 20 and 30 cents per kWh. Low plans’ high variable charge varies between 25 and 40 cents per kWh. The daily fixed charge cannot go over 30 cents a day. If your household consumes up to 8,000kWh (9,000kWh in some areas) annually, you count as a low user.
What is the difference between daily fixed and variable rate charge? The first implies the cost of network maintenance, the latter - the cost of your electricity usage. Variable rate charge covers various scenarios, and these you may well want to replace for cheaper ones. The options are, as follows:
- Anytime – same variable rate at all times;
- Controlled - lower rate during off-peak hours;
- Day/night - high variable rate from 7am to 11pm, low variable rate from 11pm to 7am.
- Night only – selected appliances are supplied from 11pm to 7am;
- TOU (time-of-use) - different rates for different times of day. High rates are applied during peak hours.
Power companies NZ offer some or all of these, depending on the region. To qualify for TOU, you will need a smart meter. Compare deals at Glimp to get started and go from there. The full list of power companies (listed alphabetically) is provided below. Don’t be shy – contact them for additional details on deals that suit you.
- Black Box Power
- Contact Energy
- Electra Energy
- Electric Kiwi
- Energy Online
- Flick Electric
- Genesis Energy
- Giving Energy
- Grey Power Electricity
- Just Energy
- King Country energy
- MAD Power
- Mercury Energy
- Merdian Energy
- Mighty River Power
- Nova Energy
- Payless Energy
- Prime Energy
- Property Power
- Puaua to the People
- Pulse Energy
- Simply Energy
- Switch Utilities
- Tiny Mighty Power
- Trust Power
- Wise Prepay Energy
Wholesale Power Prices: Finishing Touches
With a smartly chosen low user plan, high wholesale power prices will soon cease to affect you. To some extent, at least, and prospects are looking up. Never pay more because of market fluctuations again! Don’t forget that NZ is working on its energy efficiency full force and is planning to go 100% renewable by 2025.