Overview

Renewable generation reached its highest share in electricity generation since 1981, while total energy consumption fell to its lowest level since 2011 mainly due to lower industrial demand. Energy intensity hit a record low due to reduced use in the industrial and agricultural sectors.

Renewable energy supply increases to another record high

Total primary energy supply is the total amount of energy available for use in New Zealand, accounting for domestic production and trade. New Zealand’s total primary energy supply[1] for 2025 was 827 PJ, a decrease of 1.6 per cent (13.1 PJ).

Production decreased slightly, down 0.9 per cent (5.20 PJ). Contributing to this decrease was lower natural gas production, which fell 14.4 per cent (17.2 PJ), as fields approach the end of their operational life. The production of solid biofuels for energy use also decreased, down 5.2 per cent (2.60 PJ) to the lowest level since 1994.

In contrast, coal production increased by 4.2 per cent (2.64 PJ). This was driven mainly by higher bituminous coal production following the reopening of the Tawhai Tunnel, which had been closed during 2024 and had limited production in that period.

Production from renewable energy sources also increased in 2025. Geothermal energy production rose by 5.0 per cent (11.4 PJ), while solar energy production increased by 56 per cent (1.37 PJ), reflecting continued growth in generation capacity. Hydro energy production was also up 2.1 per cent (1.77 PJ) with more favourable hydro conditions than 2024[2].

Overall, a record high 47.7 per cent of New Zealand’s total primary energy supply in 2025 came from renewable energy sources, reflecting the continued increase in supply of renewables for electricity generation and declines in production of non-renewable energy sources (Figure A.1).

A stacked area chart comparing the total primary energy supply of different fuels in Petajoules. Oil contributes the most towards primary energy supply.

Figure A.1: Total primary energy supply by fuel type, by year.

Energy imports increase

National energy imports increased by 2.2 per cent (7.99 PJ). This was primarily driven by coal imports, which rose 29 per cent (6.44 PJ). Genesis Energy increased their imports of sub-bituminous coal in anticipation of a potential increased need for non-renewable generation to help meet electricity demand in winter 2025. This saw the coal stockpile at Huntly Power Station reach a 13 year high of 1.16 million tonnes[3]. LPG imports also increased, up 15 per cent (0.47 PJ) as New Zealand continues to rely more on imports amid declining domestic production due to fields reaching their end of life.

Energy self-sufficiency measures the ability for a country to meet its own energy supply needs through domestic production. A value of 100 per cent indicates that a country produces all the energy it needs, whereas values above or below 100 per cent indicate it is a net exporter or importer of energy. In 2025, national self-sufficiency increased slightly from 72.1 per cent to 72.6 per cent. Coal self-sufficiency rose from 121.3 per cent to 160.4 per cent, reflecting higher domestic production after the Tawhai Tunnel reopened in early 2025. Its closure during 2024 had reduced coal production and exports by disrupting a key transport route. This measure does not distinguish between energy produced for export and energy available for domestic use.

In contrast, LPG self-sufficiency decreased from 69.1 per cent to 62.8 per cent as domestic production falls and reliance on imports increases (Figure A.2).

A time series graph showing self-sufficiency values for each energy type, including the national average. New Zealand's national self-sufficiency increased slightly to 72.6% in 2025.

Figure A.2: Self-sufficiency by national average and energy types by year.

Record high share of energy consumption from renewables

Total energy consumption decreased slightly by 1.2 per cent (6.25 PJ) to 523 PJ in 2025, its lowest level since 2011. This decline was largely driven by lower industrial demand, which fell 2.5 per cent (3.81 PJ). Within the industrial sector, the largest declines occurred in the chemical products subsector, down 14 per cent (2.11 PJ), and the non-metallic products subsector, was down 23 per cent (1.32 PJ). Reduced demand for non-renewable energy sources increased the share in total energy consumption coming from renewable sources to 31.8 per cent, an all-time high (Figure A.3).

The increase in renewable energy consumption was driven by a decrease in non-renewable demand. The food processing sector, which includes dairy and meat product processing, saw lower coal consumption. Fonterra continues their switch to renewable energy sources in their manufacturing processes, decreasing overall sub-bituminous coal consumption by 17 per cent (1.71 PJ) to 8.21 PJ, its lowest level on record. Further, bituminous coal consumption fell by 44 per cent (1.30 PJ) to 1.65 PJ, also a record low.

A line chart indicating the proportion of total energy consumption each year from renewable sources.

Figure A.3. Proportion of total energy consumption from renewable sources by year.

Energy intensity gives an indication of the relationship between energy use and economic growth by telling us the amount of energy required to produce each dollar of gross domestic product (GDP).

National average intensity has improved slightly, from 1.88 MJ/NZ$ in 2024 to 1.86 MJ/NZ$ in 2025. The majority of sectors improved, with the chemicals and metals sector seeing the largest decrease from 9.02 MJ/NZ$ to 8.55 MJ/NZ$. Further, the agriculture, forestry, and fishing sectors decreased from 2.07 MJ/NZ$ to 2.00 MJ/NZ$, while the commercial and industrial (including chemicals and metals) sectors saw minimal changes (Figure A.4).

A comparison of time series lines for different sectors’ energy intensity (in megajoules per dollar of GDP generated). The majority of sectors improved their energy intensity from last year.

Figure A.4: Energy intensity by energy type and year.


Footnotes

[1] Total primary energy supply refers to total domestic production plus imports, minus any exports or energy used in international transport. It also considers any changes in energy stock levels.

[2] Strong inflows push hydro storage above nominal full(external link) — Electricity Authority

[3] Interim report 2026(external link) — Genesis Energy


< Energy in New Zealand 2026 | Electricity >

Last updated: 20 August 2026