What are the long-term impacts on wholesale electricity prices of importing LNG compared with increasing uptake of distributed solar generation?

Answer

Modelling shows that an LNG import facility in New Zealand will lower future wholesale electricity prices by at least $10/MWh, translating into savings of at least $265 million every year for the economy, regardless of whether LNG is actually used. Other considered options, including accelerated renewables, did not meet the government's requirements for adequate dry-year cover.