The Commerce Commission is commencing a review of gas pipeline charges, which is of key importance to our members as significant gas users.

Given the significant recent costs increases, ALENZ would suggest that the current Commerce Commission price revision processes have been inadequate. In the last three years the gas price has increased 60% and fixed daily charges by 179%. These cost increases significantly undermine the international competitiveness of New Zealand manufacturing.

As a result of price increases and uncertainty about future gas availability our members are looking to transition to electricity.  However switching costs are significant and there are no “quick fix” solutions.  The transition will take from 2- 10 years depending upon the business.

In this context, we want to see the Commerce Commission proceed with caution to tightly limit the proposed DPP4 2026 price-quality path reset to enable local manufacturing to compete with imports and to transition over the next decade without undermining our international competitiveness.

You can view our submission to the Commerce Commission here ALENZ submission Commerce Commission on gas charges March 2025