Energy costs become a major concern for New Zealand businesses
Thursday 8 October 2026 · 2 outlets · 2 reports · updated In this story ASB
A new ASB Business Survey shows that 73 per cent of Kiwi businesses are concerned about current and future energy costs. This issue ranks as the second-biggest concern for businesses, following general economic uncertainty.
Key facts
5 facts
- 73% of businesses are concerned about energy costs
- General economic uncertainty is the top concern at 79%
- Diesel and petrol prices are the biggest energy worry at 77%
- 19% of businesses have cut staff
- 28% of businesses that identified energy as a risk have no plan to address it
The full story
1 min read · 2 outlets
Energy has emerged as the second-largest concern for New Zealand businesses, trailing only general economic uncertainty. According to the ASB Business Survey, 73% of more than 400 business leaders expressed concern regarding current and future energy costs.
The primary energy worries involve diesel and petrol prices at 77%, followed by electricity prices at 70% and electricity lines and network charges at 69%. Concerns also include the declining supply of domestic gas.
In response to these challenges, 54% of businesses are cutting costs, while 42% have raised prices. Additionally, 19% of businesses have cut staff, and 20% have reduced production, hours, or output.
Jonathan Oram, ASB executive general manager corporate banking, said, “Businesses clearly recognise the growing challenges posed by rising energy costs and potential supply disruptions, driven by declining domestic gas reserves, the Middle Eastern conflict and global political uncertainty, yet many are not taking action”.
Where reports differ
- One report states 42% of businesses raised prices, while another says about a third had raised prices.
- One report states 19% of businesses are cutting staff, while another says a fifth have reduced production, hours, or output.
Compiled from reports by NZ Herald and RNZ.
