How do I switch power companies without getting burned?

Switching electricity or gas retailer in New Zealand is free, takes a few days, and your power is never turned off in the process. The new company does the paperwork. Your lines, meter and the wires in the street stay exactly the same. The only thing that changes is who sends the bill.

That is the easy part. The hard part is comparing plans properly, because retailers price fixed charges, unit rates, discounts and bundles in ways that make a quick glance misleading.

The basics

• Two free comparison sites. Billy (billy.govt.nz) is run by the Electricity Authority, the government regulator, and launched on 26 March 2026. It takes no commissions and promotes no retailer. Powerswitch (powerswitch.org.nz) is run by Consumer NZ and was the Authority-funded comparison tool for years before Billy. Both let you upload a bill or answer a few questions.
• Switching takes a couple of days for most households. The new retailer usually runs a credit check, confirms your details, then arranges the switch with your old one.
• No disconnection. Your supply does not stop or flicker. Nobody visits your house.
• Your old retailer sends a final bill. Check the meter reading and dates on it against your new retailer's first bill.
• Fixed-term plans can have exit fees. Check before you switch. Some retailers offer a joining credit that covers it.
• From 30 October 2026, new Electricity Authority rules require retailers to check once a year that you are on their best plan and help you move at no cost, limit back-bills to six months, and publish plan information in a standard format so comparison sites are more accurate.

How it is worked out

A power bill has two parts: a daily fixed charge (what you pay just for being connected) and a variable charge per kilowatt hour (kWh) used. The cheapest plan depends on how much you use, so a plan that is great for a two-person flat can be the worst option for a family with a heat pump and a spa.

Prompt payment discounts are the trap in Plan C. The 2019 Electricity Price Review found they were the single biggest factor separating what people in the most and least deprived areas pay, and that they bore little relation to the real cost of a late payment. Most large retailers dropped them after the Minister wrote to the industry in November 2019, but some plans still carry them. If money is ever tight, a discount you lose the month you are late is not a discount, it is a penalty.

The catch

• Bundles look cheaper than they are. Power plus broadband plus mobile discounts tie you to one company. Compare the bundle against the best standalone price for each service, not against the same company's unbundled price.
• The low fixed charge is almost gone. Since 2004, retailers had to offer a low-use plan with a capped daily charge. That cap has been rising 30 cents a year since 1 April 2022 and sits at $1.80 a day (excluding GST) from 1 April 2026. On 1 April 2027 the regulations are removed and retailers no longer have to offer a low-user plan at all. If you are a low user, expect your daily charge to keep rising and re-compare each April.
• Joining credits and "free months" are front-loaded. Divide the credit by the length of the fixed term to see what it is really worth per month, and check what the rate becomes afterwards.
• Estimated readings. If your final bill from the old retailer is estimated, give them an actual reading. Otherwise you can pay for the same units twice.
• Time-of-use plans can be excellent if you can shift washing, charging and heating to off-peak, and painful if you cannot. Look at when your household actually uses power before choosing one.
• Winter Energy Payment is paid by Work and Income, not your retailer, and switching does not affect it. In 2026 it ran from 1 May to 1 October at $20.46 a week for a single person with no dependent children, and $31.82 a week for couples and people with children. It is automatic if you get NZ Super, a Veteran's Pension or a main benefit. There is no application.

Do this next

1. Find your latest bill, or log in to your retailer's app, and note your daily fixed charge, unit rate and kWh used for the last 12 months.
2. Check whether you pay more than the typical price in your town with the Streetwise power price checker. Then upload the bill to Billy (billy.govt.nz) or Powerswitch and compare plans. Sort by total annual cost, not by headline rate.
3. Check your current contract for a fixed term and any exit fee.
4. Ask the new retailer in writing for the plan name, rates, term, exit fee, any credit, and whether a bond is required.
5. Click switch on the comparison site, or sign up with the new retailer directly. Do not cancel with your old retailer; the new one handles it.
6. Take a photo of your meter on the switch day.
7. Check the final bill and the first two new bills against that reading.
8. Put a reminder in your calendar for next April to compare again, because the low fixed charge rules change on 1 April 2027.

What to do if you cannot pay

Since 1 April 2025 every retailer must follow the Electricity Authority's Consumer Care Obligations. They are rules, not guidelines. The protections for medically dependent customers and the requirement that fees be reasonable started on 1 January 2025.

• Tell your retailer as soon as you know you will be short. They must offer you a payment plan and, if you agree, refer you to a support agency such as a budgeting service or Work and Income.
• They cannot disconnect you for a debt that is not for electricity, or while you are disputing a bill in good faith and paying the undisputed part.
• Before disconnecting, they must send at least two written notices (the first no earlier than 28 days after the bill, the final no earlier than 44 days) and make several contact attempts. Disconnections must not happen on or just before Fridays, weekends or public holidays, or during severe weather.
• If anyone in your home depends on electricity for medical equipment, tell the retailer and ask to be registered as medically dependent. They cannot disconnect a known medically dependent customer.
• Disconnection and reconnection fees must reflect actual cost.
• If the retailer does not follow these rules, complain to them first, then to Utilities Disputes, the free and independent scheme every retailer must belong to.
• Work and Income can help with an advance on your benefit or hardship assistance for power debt, even if you are working. Ask.

Common questions

Will switching leave me without power for a few hours?

No. The switch is a change of billing records, not a physical change. Your lines company and meter stay the same.

Can my old retailer refuse to let me go?

No. They can charge an agreed exit fee on a fixed-term plan and bill you for power used up to the switch date, but they cannot block the switch.

Is Billy or Powerswitch better?

Both are free and independent. Billy is the official government tool and will benefit most from the new standard plan information from 30 October 2026. Powerswitch has been around longer. Running both takes ten minutes and costs nothing.

Do I lose my prompt payment discount history or credit if I switch?

Any credit balance on your old account must be refunded to you on the final bill. Discounts are per-plan, so check whether the new plan has one and whether you want it.

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Last reviewed 16 October 2026. Written by Streetwise from the official pages listed above. General information only, not legal or financial advice.