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New Zealand Could Save Billions by Electrifying 6 Million Fossil-Fuel Machines, Report Finds

by sthv

New Zealand has 10 million fossil fuel-powered machines, more than 80% of which could be replaced with electricity, a new report shows. This switch could save the country

8 million machines a day, or NZ$3.7 billion a year, while significantly reducing emissions.

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The study, Reshaping New Zealand’s Machine Population, identified 6 million “priority” machines, including cars, heaters, lawnmowers and stoves, that could easily be electrified. While not all machines need to be replaced immediately, many are nearing the end of their useful lives.

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Big savings, big emissions reductions

Replacing these 6 million machines would:

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  • Reduce carbon emissions by 7.5 million tonnes per year, the equivalent of flying from Auckland to London round trip once a year.
  • Reduce energy costs for homes and businesses, as electric options are generally cheaper over their useful lives.

The Energy Efficiency and Conservation Authority (EECA) found that more than a third of New Zealand’s fossil fuel appliances are more than 10 years old, and the average car is 14 years old, so now is the ideal time to upgrade.

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Which appliances are ready and which aren’t

The report, supported by Ara Ake and EECA, breaks down appliances into three categories:

  • Ready (84%) – Electric alternatives are available today and are affordable, including heaters, water heaters and small to medium-sized cars.
  • Almost ready (10%) – Includes trucks, vans and buses, which already have electric models overseas but need more support to enter the New Zealand market.
  • Not ready (6%) – Heavy machinery such as aircraft, mining trucks and cargo ships still need technological advances or subsidies.

‘A no-brainer’ for many

Rewiring Aotearoa CEO and electric cherry orchardist Mike Casey said switching to electricity was an obvious choice given New Zealand’s high fossil fuel prices. His farm has stopped using diesel, saving tens of thousands of dollars a year on energy bills and reducing emissions to almost zero.

He also highlighted retrofit options, such as converting his 1990 Hilux to a Nissan Leaf engine, and called for low-interest loans to help more people afford the upfront costs.

Critical moment for New Zealand’s energy future

EECA’s Megan Hurnard warned that New Zealand was entering a “critical investment cycle” for machinery and equipment. “The choices we make now will shape our energy system for decades to come,” she said. Sticking with outdated, inefficient models could increase costs, reduce performance and make them vulnerable to volatile fuel prices.

The machines most worth electrifying

The report identifies six key categories where electrification would deliver the biggest savings:

  • 3.5 million small/medium cars
  • 999,000 space heaters and 455 boilers
  • 566,000 water heaters and 64 boilers
  • 505,000 lawn mowers
  • 215,000 motorcycles
  • Commercial and domestic gas ovens/cookers

Conclusion

With most electric alternatives already available and cost-effective, New Zealand has a clear path to reduce emissions and energy bills – but urgent action is needed to accelerate the transition.

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