NZ Gas Market

As with the electricity market, the gas market is similar in having four key areas.

1. Production and exploration

New Zealand’s natural gas comes from production sites in the Taranaki Basin on the North Island's west coast. There are 15 producing fields, the largest being Pohokura, Mangahewa, and Maui. Companies involved at this level include Todd Energy, OMV, and Greymouth Gas.

2. Transmission 

After processing, natural gas is piped to many urban locations in the North Island on two transmission networks operated by First Gas.

Natural gas is not reticulated in the South Island.

3. Distribution 

The distribution companies deliver natural gas through pipes from the transmission gate stations to households and commercial and industrial end-users. Powerco is New Zealand's second largest gas distributor by connections. There are four other distribution companies in New Zealand, First Gas, GasNet, Vector and Nova.

4. Retailing 

There are nine companies engaged in gas retailing: Contact Energy; Genesis Energy; Energy Online; Nova Gas; Mercury Energy; On Gas; Greymouth Petroleum; Energy Direct NZ; TrustPower.