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Gas shortages add to challenge for New Zealand farmers



Vegetable growers need cheaper energy solutions or face losing their businesses as energy costs rise and gas supplies tighten. Ellery Peters, Energy Engineer for Vegetables New Zealand, says natural gas makes up the majority of the sector’s emissions and farmers now face fluctuating prices and availability.

Distribution Agreements
Distribution contracts are shrinking. “We try to help them when they are forced to do so.” According to Ellery, farmers are responding to rising CO₂ prices.

In 2019, approximately 50 percent of the sector’s emissions profile came from coal. This is followed by natural gas and other hydrocarbons such as diesel and waste oil. “From the new data we collected in 2024, we see that coal’s share has declined significantly and natural gas is actually dominating.”

relocation
According to Ellery, few large farmers are switching to biomass. “Many small and medium-sized players are switching from coal to waste oil, and this is the cheapest fuel source they can find themselves.”

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