Māori, Pacific households, renters and crowded homes hit hardest by energy hardship

The report found energy hardship decreased slightly since 2012 across all five measures.
The report found energy hardship decreased slightly since 2012 across all five measures. Photo credit: Image - Getty Images

New data released by the Ministry of Business, Innovation and Employment (MBIE) has revealed Māori, Pacific households, renters and crowded homes are hit hardest by energy hardship. 

The data released in MBIE's Report on Energy Hardship Measures compared data across 10 years from July 1 2012 to June 30 2022 and drew on five measures. 

The measures: 

  • Could not pay for electricity, gas rates, or water bill on time more than once in the last 12 months
  • Cannot afford to keep dwelling adequately warm 
  • Put up with feeling cold a lot to keep costs down 
  • Dampness and/or mould are a major problem 
  • Trouble heating accommodation and or/keeping it warm in winter

The report found energy hardship decreased slightly since 2012 across all five measures, but there are still key demographic groups that are more likely to be affected. 

MBIE's head of evidence and insights Daniel Griffiths said 4 to 6 percent of households reported experiencing at least one of the five energy hardship measures. 

"The proportion of households that experience each of these measures rises considerably for Māori and Pacific households, renters, and for crowded households."

The report found about 110,000 households could not afford to keep their homes adequately warm for the year ending June 2022. 

"10.2 percent of all Māori households reported not being able to afford to heat their homes," Griffiths said. 

"The same measure is 14.4 percent for all Pacific households, compared to 5.8 percent for the total population."

Griffiths said 12.2 percent of renters reported not being able to afford to heat their homes, compared to 2.5 percent of homeowners. 

"Households that were crowed or relied on low-income were also more likely [to] struggle to heat their homes," he said. 

"This is just one of the five measures we looked at, but the story is similar across the board."

The report also found 74,000 households said damp or mould was a major problem in their homes.

"Dampness and mould are indicators of poor housing quality. Damp homes require more energy to heat, which could put further financial pressure on households," Griffiths said. 

He said energy hardship can harm households in various ways and can have a "detrimental effect on their mental and physical health".

Other findings: 

  • Renters are between four and six times more likely to report experiencing measures of energy hardship
  • Around one-third of low-income households could not afford to keep their accommodation adequately warm
  • Around 12 percent of Pacific households and around 9 percent of Māori households put up with feeling the cold a lot to keep costs down. This compares to around 5 percent of households for the total population
  • Crowded households are about three times more likely to experience measures of energy hardship compared to non-crowded households