Contact Energy Review
Our comprehensive guide compares Contact Energy's electricity plans and outlines the bonuses, contracts, pros and cons and must-know facts
Updated 16 March 2021
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Know This First - Contact Energy's kWh pricing and daily charges vary throughout New Zealand. For up-to-date pricing comparisons and tools to help you find the cheapest deal, please use our electricity company comparison guide.
Contact Energy in a Nutshell
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Contact Energy Prices
Our Research:
- In March 2021, our research revealed that Contact Energy was competitive for standard and low users in a number of cities.
- Our comprehensive review can be found here, and you can compare the costs of your existing provider with Contact Energy in seconds. Our downloadable tool has you covered.
- Be aware: Energy prices differ around New Zealand, and your bill will also be affected by how much energy you use.
- We believe Contact offers opportunities for many households to make monthly savings on their energy bills.
- Compare Contact Energy's prices with the rest of the market here.
How green is Contact Energy?
- Approximately 84% of the power generated by Contact Energy comes from renewable sources. Currently, Contact Energy owns and operates two geothermal plants located at Waikato (698 GWh/year), three geothermal plants located at Taupō (2,559 GWh/year), and two hydroelectric plants located at Otago (4,231 GWh/year).
- The remaining 16% of the energy though is generated from three gas-based thermal plants, two of them located at Taranaki (1220 GWh/year) and one in Waikato (196 GWh/year), as well as one diesel-based thermoelectric plant located at Hawke’s Bay (5 GWh/year).
- While it is true that those plants are not eco-friendly, worth mentioning that Contact is considering building an additional geothermal power station in Taupō as part of its environmental sustainability strategy.
Contact Energy Plans - "Basic" vs "Everyday Bonus" vs “Bach”
Contact Energy is currently offering three residential plans, the Basic Plan, the Everyday Bonus Fixed Plan, and the Bach Plan. Both the Basic and the Everyday Bonus plans are available for standard and low users whereas the Bach plan, being usage-based, does not apply to residential homes permanently occupied.
Contact Energy Basic Plan Review
- The Basic Plan is aimed at both, low and standard users, looking for a flexible hassle-free plan with no fixed term and transparent pricing
- Given its flexible nature, the Basic Plan has higher daily and variable charges than other Contact Energy plans
- To get the most out of this plan, you should feel comfortable both managing your bill and making your payments online.
The Pros:
- Great flexibility, no fixed terms or cancellation fees
- Transparent pricing, you can check your bill details as well as your household power usage through Contact app
The Cons:
- No additional discounts whatsoever
- Higher variable charges than Contact Everyday Bonus plan
- Higher daily charge when compared to Contact Everyday Bonus plan
Be aware:
- The Basic Plan is only available when using as payment methods Contact SmoothPay, Contact ControlPay, or Contact PrePay
- This plan is not available for PrePower customers
- Additional fees apply if you decide to receive a paper bill instead of an online bill, or you pay by credit card.
Contact Energy Everyday Bonus Fixed Review
- Contact Energy Everyday Bonus plan is aimed at Kiwis that favour the certainty of a fixed electricity bill amount over the flexibility offered by Contact Basic plan
- The Everyday Bonus Fixed plan offers Contact Energy’s lowest daily and variable rates for a 24-month period.
- Contrary to the Contact Basic Plan, this plan does have an “early cancellation fee” of $150, however, it also has a $150 “welcome bonus” off your first bill that somewhat compensates that fee.
The Pros:
- Contact Energy's lowest rates fixed for 24 months
- 2% fixed discount on all energy charges
Cons:
- If you cancel the 24-month contract, you will have to pay an early termination fee of $150 (including GST)
- With the Everyday Bonus Fixed plan, you are tied to Contact for a 2-year period which is more than the usual 1-year contract offered by other retailers
Contact Energy Bach Plan Review
- As its name implies, Contact Energy’s Bach Plan is specifically targeted at the tens of thousands of baches and cribs
- The plan is a special contract with no fixed term or daily charge
- Just like the Contact’s Basic Plan, there is no termination fee if you cancel the contract
The Pros:
- No daily charges, meaning potential savings when you are not using your bach
- Special contract conditions where “you only pay for what you use”
- No fixed terms and no early termination fees
Cons:
- This plan charges you with the highest variable rates of Contact, so depending on how often you visit your bach (and the power consumption of your appliances) you might want to consider a Basic Plan instead
- The Bach plan only applies to bach and cribs equipped with Smart Meters
Be aware:
- If your bach or crib is located in the central North Island and your power is routed through The Lines Company then you will be charged for network and metering daily charges.
Contact Energy Conclusion - Basic vs Everyday Bonus vs Bach
To determine which plan best suits your needs, you’ll need to consider the following:
- Lifestyle and convenience: Our view is that your lifestyle plays a crucial role in deciding which Contact Energy plan is better for you. The Everyday Bonus plan clearly aims at New Zealanders more worried about saving money than anything else. Signing a long 24-month contract is compensated by the lower rates. The Basic plan on the other hand is probably better suited for renters who are not certain about staying 2-years in the same house. Regarding the Bach plan, depending on how often you use your holiday house it could be a good solution for saving on the electricity bill.
- Additional benefits: Aside from its electricity plans, Contact Energy also offers broadband, piped gas, and bottled gas services. While it is true that you can obtain interesting discounts by subscribing to Contact's "service bundles" it is also true that some of these bundles are subject to the type of electricity contract you have (fixed or open-term). Simply put, your decision on the electricity plan will affect the choices available for the other Contact services.
How Does Contact Energy compare with other companies for low energy and standard households?
Our electricity company comparison highlights what we consider to be the best providers when factoring in daily charges and variable charges for homes all over New Zealand. In March 2021, our research revealed that Contact Energy was competitive for standard and low users in a number of cities we compared.
Our electricity company comparison highlights what we consider to be the best providers when factoring in daily charges and variable charges for homes all over New Zealand. In March 2021, our research revealed that Contact Energy was competitive for standard and low users in a number of cities we compared.
Contact Energy Frequently Asked Questions
To help you decide if Contact Energy is right for your home, we've published a number of frequently asked questions.
What does Contact Energy cost per month, and is it the cheapest?
What you pay depends on where you live, how much energy you use and what plan you're on. Our electricity company comparison guide has more information about estimated costs and how it compares to other companies.
Is Contact Energy available at my address?
Most likely - you'll need to type in your address to see if you're covered.
What does a Contact Energy bill look like, and how do I pay?
This overview explains how the bill appears, what everything means and when it's due. Contact Energy accepts direct debits and credit cards - your can read more from their ways to pay your power bill guide.
Does Contact Energy use renewable sources of electricity?
Yes, in fact about 84% of the power generated by Contact Energy comes from geothermal and hydroelectric power stations. The two Otago hydroelectric plants generated in 2019 4,231 GWh while the geothermal power plants located at Waikato and Taupō generated 3,257 GWh in the same period.
However, Contact Energy also operates gas and diesel thermoelectric plants located in Taranaki, Waikato and Hawke's Bay, which together contributed 1,421 GWh of energy in 2019.
However, Contact Energy also operates gas and diesel thermoelectric plants located in Taranaki, Waikato and Hawke's Bay, which together contributed 1,421 GWh of energy in 2019.
