Em'power'ing the people

Power bills rose an average of 8% for most households over winter, according to the Electricity Authority, and that’s on top of a similar increase last year. For households on fixed incomes, that’s a real squeeze.

Against that backdrop, the Authority’s new free, publicly owned power comparison and switching website, Billy, turned six months old recently. In that time, it’s had half a million visitors, made 200,000 comparisons, and helped 8,500 people start switching power companies. The Authority says the average potential saving for those switching through Billy is $62 a month.

New rules aimed at making power bills simpler and easier to understand are also underway, meaning things may look better for consumers by next winter.

Why 'Billy'?

What it does

The site uses data from 27,000 Kiwi households to model how people use power and create personalised comparisons. The Authority doesn’t promote any particular power company and doesn’t receive any commission. It just shows how different plans could work for each household, with most companies available on the site.

Aren't there sites already doing this?

The main alternative is Powerswitch, a not-for-profit site run by Consumer NZ, which promotes its free service as offering 100% independent comparisons.

When Billy launched, Powerswitch general manager Paul Fuge told media that government ownership of major gentailers could raise questions about the impartiality of a government-run site such as Billy. He believed consumers need a “truly independent service that doesn’t have a dog in the race” (RNZ).

What else is happening?

Earlier this year, the Electricity Authority announced new rules to improve protections for power consumers. This includes banning back-billing customers for more than six months. Power companies are expected to be fully compliant by 1 April 2027.

“From time to time you hear horror stories of people being sent a massive bill because for one reason or another they have not been receiving accurate and timely bills,” Energy Minister Simeon Brown said at the time.

“Catch-ups will be limited to six months under the new rules, reducing the risk of ‘bill shock’”.

These new rules include:

• Better bills: clearer and more consistent information to help consumers understand what they’re paying for
• Back bill protections: back-billing is limited to six months to reduce the risk of large unexpected catch-up charges
• Better plan checks: power companies must carry out annual ‘better-plan checks’ with customers to help identify whether the company offers a cheaper plan

These changes come on top of other improvements made over the last 18 months, such as requiring all large power companies to offer plans with cheaper off-peak power, ensuring households generating power from solar and returning it to the grid get fairer returns, and the introduction of Consumer Care Obligations that require power companies to help customers stay connected – particularly those who rely on power for medical reasons, and to support those struggling to pay their bills.

Brown urged the public to use Billy to check they are getting the best deal.

“When people can easily see their options and act on them, competition works better. That’s what Billy and the billing reforms are designed to achieve.”


The advice here is general and does not constitute specific advice to any person.