Water is an important source of energy that contributes to New Zealand’s energy supply and the economy. As the main source of renewable energy in New Zealand, the use of water supports the production of the electricity industry. Tracking the value of this water as a natural resource – along with land form, slope, and elevation, which all help to generate hydroelectricity – shows the economic benefits derived from water use for current and future generations. Changes in flow regimes and climate can affect these values.
We report on the value of water resources used to generate hydroelectricity. This value includes both the returns received from current use (resource rent), and expected benefits from future use (the asset value).
