Consumer Advocacy Council Calls for Renewable Energy Investment to Benefit Households, Not Just Shareholders

New analysis by FIRST Union, the NZCTU, and 350 Aotearoa has shown that for every dollar invested by New Zealand's four main gentailers in renewable energy capacity, shareholders receive $2.41 in dividends.

The analysis shows that over the last decade, the companies earned $7.6bn in net profit after tax, but paid out $10.8bn to shareholders, prioritising returns to shareholders over new renewable energy investment and affordable energy prices for consumers.

The Consumer Advocacy Council has stated that the market model for electricity is failing to deliver affordable and reliable electricity for consumers, and has called on the New Zealand government to ensure that the industry delivers for residential consumers and small businesses, rather than solely for shareholders.

This comes as many households are struggling to heat their homes during the winter, exacerbating the cost of living crisis. The Council has welcomed the government's commitment to accelerating investment in renewable energy but has stated that the industry must deliver for residential consumers, rather than solely shareholders.