Our Energy research
The energy performance of our homes and neighbourhoods detracts from or contributes to New Zealand’s sustainability as a nation. It impacts on the number of power stations we need, the capacity of our network to meet demand, the extra infrastructure required for future demand, and the environmental consequences of generating power.
Our energy research focuses on two strands:
- Improving the energy efficiency of new and existing homes. The less energy we need, even at the individual home level, the easier it will be to meet demand.
- Encouraging greater use of renewable energy – wood, pellets, solar hot water heating and electricity generation – in homes and neighbourhoods.
Energy efficiency and conservation go hand in hand with renewable energy. The use and development of a local renewable energy resource combined with its efficient use assists greater levels of resilience and results in direct links to health and social well-being (by providing warmer, drier homes and reduced energy costs to consumers). An efficient and effective renewable energy strategy can help to reduce the carbon dioxide emissions and other pollutants that are causing climate change.
Energy efficiency
The design and construction of our homes and neighbourhoods has a significant impact on their energy efficiency. Improving our homes’ performance can reduce homeowners’ power bills and make them more comfortable, as well as benefitting the country at a national level.
Beacon’s National Value Case for Sustainable Housing Innovations found that improving the energy efficiency of homes New Zealand-wide would:
- save almost 22 petajoules per year – enough to power 500,000 New Zealand homes for a year
- reduce CO2 emissions by 3600 kilotonnes per year
- and, combined with water efficiency, save households collectively $2 billion per year.
Renewable energy
Beacon uses the terms ‘high grade’ and ‘low grade’ energy to describe what gets used in our homes. High grade energy is energy that could be used to run a computer, DVD player or microwave oven. It must meet strict standards when delivered. Electricity is the most commonly used high grade energy source in New Zealand for a variety of uses including space and water heating, which make up approximately 60% of the energy use within the home. Given that the production of electricity is expensive, both from a generation and distribution perspective, it makes sense to reserve this type of energy for end uses specifically requiring it, and to look at low grade energy to satisfy space and water heating demand. Both of these energy uses are potentially easily undertaken using low grade, local renewable energy.
We believe there is potential to increase the proportion of energy supplied from local renewable sources, either at house level or at a community/neighbourhood scale. The advantage to homes of utilising local renewable energy is a greater resilience in the face of drought-driven electricity shortages and a reduction in the demand on our electricity infrastructure. Local renewable energy generation can advance and strengthen New Zealand’s energy system by complementing the current centralised energy system and making better use of the wealth of resources available in this country.
Local energy systems have the potential to displace as much as 16,000 GWh per year of electricity from large power stations in 30 years time, or much sooner if there is government support. This amount is more than the electricity consumed by the entire residential sector in 2005 (12,732 GWh).
Related Documents
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11-Jan-2007 (Publication PR240/4)
National Value Case for Sustainable Housing Innovations (PDF 2MB)
Melony Clark
Presents the policy case to Government based on the National Value Case report.

Huntly Power Station