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Why more Kiwi homes are saying goodbye to gas

  • Jun 18
  • 4 min read

For decades, gas hot water has been a popular choice in New Zealand homes. It offered fast hot water, compact systems, and was often seen as a cheaper alternative to electric cylinders.


Today, that picture is changing.


Rising gas prices, increasing supply charges, LPG bottle rental and delivery costs, and the growing availability of highly efficient heat pump water heaters mean more Kiwi households are making the switch away from gas. In many cases, homeowners are reducing their hot water costs by 70% or more while also future-proofing their homes.


So why are so many New Zealanders saying goodbye to gas?


The cost of gas keeps rising

Most homeowners focus on the cost of the gas they use, but that's only part of the equation.


Even if your household uses relatively little gas, you're still paying a daily fixed charge just to remain connected to the gas network. For many households, these connection fees can add up to hundreds of dollars every year before a single shower is taken.


As gas infrastructure ages and customer numbers decline, many industry experts expect these costs to continue increasing over time.


For households that only use gas for hot water, maintaining a gas connection can become an increasingly expensive way to heat water.


LPG bottles can be even more expensive

While some New Zealand homes are connected to reticulated gas networks, many households rely on LPG bottles for their hot water. This comes with a range of additional costs and inconveniences that homeowners often overlook.


In addition to paying for the gas itself, households typically pay bottle rental fees and delivery charges. They also need to monitor their gas usage and arrange replacements before the bottles run empty.


Running out of gas can mean unexpected cold showers until a new bottle can be delivered.


With LPG prices increasing in recent years, many homeowners are finding that bottled gas has become one of the most expensive ways to heat water.


This is one reason why heat pump water heaters are proving particularly popular in rural areas, lifestyle properties and towns without access to piped gas. By switching to a heat pump water heater, homeowners can eliminate bottle rental fees, avoid delivery charges, and remove the hassle of organising gas refills altogether.


Many of the highest savings we see at Ecobulb come from households replacing LPG hot water systems, with annual savings often exceeding $1,000 and, in some cases, approaching $2,000 per year.


Heat pump water heaters are far more efficient

A traditional gas hot water system generates heat by burning fuel.


A heat pump water heater works differently. Instead of creating heat, it captures heat from the surrounding air and transfers it into the water tank.


This process is incredibly efficient.


Modern heat pump water heaters can produce up to five units of hot water energy for every unit of electricity they consume. In practical terms, this means households can often reduce their hot water energy costs by 70% to 75% compared with gas systems.


Considering hot water typically accounts for around 30% of a household's energy use, the savings can be substantial.


Real New Zealand savings

At Ecobulb, we've helped homeowners across New Zealand replace ageing gas systems with Emerald heat pump water heaters.


Recent examples include:

o Upper Hutt household: estimated annual savings of $1,944

o Tawa household: estimated annual savings of $1,555

o Auckland household: estimated annual savings of $1,450

o Christchurch household: estimated annual savings of $1,100


While every home is different, these examples highlight the significant savings that can be achieved by replacing gas hot water with a modern heat pump system.


Electrification is becoming the future

Across New Zealand and around the world, homes are becoming increasingly electric.


Solar panels, induction cooktops, electric vehicles and heat pump space heating are becoming mainstream. Heat pump water heaters fit naturally into this trend.


Many homeowners are choosing to remove gas entirely, simplifying their energy setup and eliminating gas connection charges altogether.


For households with solar panels, a heat pump water heater can also make use of excess solar generation during the day, further reducing running costs.


Better for the environment

Switching from gas to a heat pump water heater doesn't just reduce energy bills.


Because heat pumps use electricity much more efficiently, they also reduce household carbon emissions.


As New Zealand's electricity generation continues to become more renewable, the environmental benefits of electrification become even greater over time.


For many households, upgrading hot water is one of the simplest ways to reduce both energy costs and environmental impact.


Is it time to replace your gas hot water system?

If your gas hot water system is more than 10 years old, needs repairs, or you're concerned about rising energy bills, now may be the ideal time to consider a heat pump upgrade.


Modern heat pump water heaters offer:

o Up to 75% lower hot water running costs

o Reduced dependence on gas

o No more LPG bottle rental fees or gas deliveries

o No risk of running out of gas

o Lower household emissions

o Compatibility with solar power systems

o Reliable year-round performance


With energy prices continuing to rise, more Kiwi homeowners are discovering that replacing gas isn't just an environmental decision – it's a financial one.


Find out your potential savings

Not sure whether a heat pump water heater is right for your home?


Take Ecobulb's free 3-minute online assessment to receive:

o Your estimated annual savings

o A suitability score for your home

o An estimated payback period


You may be surprised at how much you could save by saying goodbye to gas.

 
 
 

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