Power plan comparison: Electricity Authority to end support for Powerswitch, plans AI service
The way New Zealanders compare and switch power plans and deal with power companies looks set to change.
The Electricity Authority has announced more details about the “next generation” comparison and switching service it’s developing, which uses AI.
It’s ending its support of Consumer NZ’s long-running but sometimes controversial Powerswitch website at the end of the year, saying the website has served Kiwis well but the “time is right” for change.
Following a competitive procurement process, it’s selected Auckland innovative technology and creative studio Daylight to develop the service.
Authority chief executive Sarah Gillies said it envisages a future in which consumers can “seamlessly compare and switch plans and providers, choose multiple providers for different services, and sell surplus power back to the grid, all with a few taps on a smart device”.
The regulator is proposing giving households more flexibility to change providers, and even buy power from one company and sell power to another.
It believes that will lead companies to reduce their prices, and compete more for customers that have solar panels, battery storage and electric vehicles.
“We’ll need a comparison and switching service that can leverage AI-enabled tools, improvements in data standardisation and a future consumer-data-right,” Gillies said.
Powerswitch – which is owned by advocacy group Consumer NZ and has been running for 25 years – has previously faced criticism over the plans, prices and power companies it features, and the “success” fees it charges power companies when consumers change plans.
Consumer NZ chief executive Jon Duffy said it was disappointed the authority would no longer partially fund the service – to the tune of $1.2 million a year – after the end of this year.
“We are actively considering what the future of the service could look like from 2026 onwards. We’re also interested to learn more about the service the [authority’s] new provider will offer,” he said.
“Ultimately, our priority is to ensure that New Zealanders continue to have access to tools that help them make informed decisions and get the best value from their electricity provider.”