Media statement
For immediate release
4 May 2009
NZ can lead world in renewable energy says overseas expert
An internationally renowned energy expert believes New Zealand could generate all its electricity from renewable sources
within twenty years.
“I have no doubt that with the right political will and some policy changes, New Zealand could lead the world in
renewable energy and be 100 per cent renewable by 2025,” said Dr. Benjamin Sovacool, Assistant Professor at the National
University of Singapore.
Dr Sovacool is backing the newly formed REFIT-NZ, a community based organisation aiming to educate New Zealanders about
measures the rest of the world is adopting to deal with problems around security of energy supply and rising power
bills.
REFIT-NZ promotes a renewable energy policy called the Feed-in Tariff (FIT), which if adopted, would make it easier and
cheaper for New Zealanders to generate more of their own electricity from smallscale renewable sources like solar and
wind power.
FITs require electricity retailers to pay consumers who produce their own renewable electricity and feed it into the
national grid, a premium above normal retail rates. That way they can pay back their investment much quicker. The cost
is spread over all consumers.
“It’s a relatively simple way to encourage consumers to generate their own power whether it is at home, on their farms,
within their workplaces or communities. It costs the Government nothing,” said Dr Sovacool.
“Other consumers pay a small extra price, but it’s a logical step to help secure our energy future. The more renewable
electricity produced locally, the fewer large coal or gas fired power stations that have to be built. It’s a win-win for
the environment on so many levels."
FITs are already working successfully in over 45 OECD countries, states and provinces around the world (see table below).
New Zealand is unusual in that, unlike many OECD countries, it has no specific Renewable Energy Policy (REP) to increase
the uptake of small-scale renewable energy production. This is despite the New Zealand Energy Strategy having a target
of 90 per cent of electricity being generated from renewables by 2025.
“We could easily be 100 per cent renewable by then if the electricity market was truly competitive for all stakeholders,
which include small-scale generators,” said REFIT-NZ Chairperson Charmaine Watts.
“Current industry legislation, regulation and infrastructure are designed for a centralised generation regime, which
means electricity consumers have very little control over their electricity, whether buying or selling. FITs are a
mechanism that levels the playing field for clean renewable energy.
“If 45 other developed countries can see the value of FITs, so should New Zealand,” said Ms Watts.
ENDS
Note:
REFIT-NZ is a not-for-profit, charitable trust organisation (currently pending registration under the Charities Act
2005) set up by various individuals within the New Zealand renewable electricity industry. It is canvassing for public
support through the REFIT-NZ website: www.refit.org.nz
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