Almost 50 power brands vying for your household's business

Sunday, 8 April 2018

Auckland households have the widest range of power brands available.

Good news if you're looking for a better deal on your power bill – New Zealanders now have more choice than ever before.

New data from the Electricity Authority shows there were 48 electricity brands, backed by 32 parent companies, in the market at the start of this year. That's up 12 from 2017.

Electricity Authority chief executive Carl Hansen said the competition was good for consumers.

'When retailers have to compete by offering better prices or deals, consumers have more choices and can play a more active role in the market by switching providers or asking for a better deal from their current retailer. This encourages retailers to adopt new technology and offer more attractive deals, or risk losing customers.'

Since 2013, 33 power brands have entered the market and seven have left.

'Having new brands and options come into the market and pushing existing retailers to create new and innovative offerings are signs of healthy competition. Consumers are responding by voting with their feet and switching providers in record numbers.

'It takes just minutes of your time to check you're on the best power deal for your household. If you decide to switch, the retailer completes the process for you. And with winter fast approaching, it's a good time to check you're on the best deal for your situation,' Hansen said.

Households can save a lot of money by switching supplier.

A fully insulated house on Auckland's North Shore with four inhabitants, no one home during the day, heating with a heat pump, could pay anything from $1900 a year to $2657 depending on which supplier it went with, according to comparison website Power switch.

'Some consumers have found significant savings,' Hansen said.

'But it's not just about price – there's a range of offers out there that consumers can take up. These include choices of payment options, what information they can receive and how, and plans that respond to changes in wholesale prices or are geared to new technology like solar panels and electric vehicles.'

Auckland has the most choice, with 34 brands supplying residential households. The West Coast has the fewest options, at 10.

Thinking about switching?

Consider the benefits of what each power company is offering you. If you're able to change your consumption habits, a deal like Electric Kiwi's free hour of off-peak power could make a big difference. Flick's variable prices might also benefit you if you can choose to use power when they are low. If you're in a more rigid routine, fixed prices may be better.
Check whether your existing supplier will match any offer you get. Quite often you can get incentives from your provider if you agree not to move. That might include a better power rate or a one-off credit on your bill.
Use your actual consumption information to compare prices on a website such as Powerswitch or What's My Number.
If you're likely to want support for a solar power system, or electric vehicle, consider how your retailer will accommodate that.
You might make your decision based on more than price – some retailers offer rewards schemes or other useful tools to monitor your power use.