Behind the Numbers: Why “99% Renewable Electricity” Doesn’t Mean 99% Clean Energy
New Zealand often gets attention for its clean electricity. In the South Island, for instance, a vast network of hydropower stations means renewable sources can generate nearly all of the region's electricity. That sounds impressive but here’s the catch: electricity is not the same as total energy use.
Think of a country's total energy consumption as a pizza. Electricity is just one slice. While that slice is impressively green in New Zealand, the other, larger slices - transport, heating, and industry - still depend heavily on petrol, diesel, and natural gas. As official government data shows, transport and industry together account for the majority of the country's energy demand. Until those sectors change, the "clean energy" story is only half true.
The numbers back this up. In 2023, only about 28% of all the energy New Zealanders actually used -driving cars, heating homes, running factories - came from renewables, according to the International Energy Agency (IEA). This isn’t a local issue; it’s a global blind spot where people confuse clean power from the socket with the full energy mix we use every day. That gap creates space for poor policy and greenwashing, where numbers can look better than reality.
Navigating the noise of sustainability claims requires a deeper level of scrutiny, whether they come from a corporation, a government body, or an NGO. To assess if an organization's actions truly align with its words, it's essential to look beyond marketing materials. This is why we recommend platforms like HowLegit, which provide a valuable layer of analysis. By cross-referencing a wide array of sources - reports, campaigns, and leadership statements - they spot potential red flags and help you verify the credibility of a potential partner.
This need for scrutiny applies not just to corporate reports, but also to the common assumptions we make about climate solutions.
For example, many assume that electric vehicles (EVs) are only “as green as the grid.” The surprising truth? Even when charged with fossil-heavy electricity, EVs can still outperform petrol cars by a wide margin in lifetime emissions. The core reason is their incredible efficiency. An internal combustion engine wastes most of its fuel as heat, while an EV converts over 85% of its electrical energy directly into motion, according to the NRDC (the Natural Resources Defense Council).
So, if EVs are a clear win even on today’s grids, what’s holding back a faster transition? Is it infrastructure, cost, or a lack of political will? We’ll dig deeper into the EV puzzle in our next blog.
If you’re interested in clearer strategies, connect with Mr. G - Galeno Chua and check out Business Sustainability Accelerator, our training ecosystem designed to equip sustainability professionals with the tools, clarity, and credibility to lead confidently in real-world business strategy.
Watch our explainer clip: here
