Enabling New Zealand’s clean energy transition: How standards are driving uptake of renewable and hydrogen technologies

At a recent forum hosted by Standards Australia to support the implementation of renewable energy across the ASEAN Australia New Zealand Free Trade Area, Standards New Zealand shared insights on the role of standards. Understanding the why behind the adoption of international standards helps us see the impact they have in the energy sector.

The presentation, by Standards New Zealand’s Principal Project Manager Chris Forsman and summarised in this article, outlined how internationally aligned standards are a critical enabler of renewable, green and clean energy uptake and emerging technologies such as hydrogen. The session explored what genuine transformational change looks like and why standards are foundational to delivering it safely, efficiently, and at scale.

Transformational change is not new

History shows that energy transitions are rarely linear. At the turn of the 20th century, electric vehicles briefly dominated the US car market, supported by widespread electricity infrastructure and even battery‑swapping services. Within little more than a decade, the transport system was transformed - driven not by technical superiority alone, but by cost, infrastructure investment, and market design.

The lesson for today’s energy transition is that successful technology adoption depends on trust, affordability, interoperability and system readiness, not capability alone. As New Zealand shifts away from fossil fuels, it faces challenges comparable in scale to those encountered during the first global electrification wave.

An energy system at an inflection point

New Zealand’s electricity system is already highly renewable – over 87% of generation comes from renewable sources – but the broader energy sector tells a different story. Transport and industrial fuel use still account for more than 40% of gross carbon emissions.

At the same time, the structure of the energy system itself is changing. The country is moving away from a centralised, top‑down model toward a dynamic, decentralised system, where consumers increasingly become “prosumers” – both using and supplying energy. Digital technologies, data, and artificial intelligence are reshaping how energy is generated, traded and consumed.

This shift demands new regulatory and technical foundations. Flexibility, rather than predictability, is now the defining feature of modern energy markets. That flexibility introduces complexity, making clear, forward‑looking standards essential.

Hydrogen – tomorrow’s fuel

Electrification remains the backbone of New Zealand’s emissions‑reduction strategy, and the Government has set a target to double renewable electricity generation capacity by 2050. However, electrification alone will not achieve net zero.

Some sectors, such as long‑distance aviation, heavy transport, shipping, rail, and high‑temperature industrial heat, are difficult or uneconomic to electrify directly. These “hard‑to‑electrify” applications require complementary low‑emissions fuels, alongside carbon‑capture technologies.

Hydrogen plays a vital role in this mix. Produced using renewable electricity, hydrogen can act as a clean fuel, an energy‑storage medium, and a system‑balancing tool when intermittent renewable generation is unavailable. Hydrogen derivatives such as e‑sustainable aviation fuel (e‑SAF) also offer substantial emissions reductions while using existing infrastructure and engines.

Aligning with New Zealand’s climate strategy

The Government’s Climate Strategy, set in July 2024, provides the strategic direction for New Zealand’s climate response. Built on five pillars, it adopts a net‑based, least‑cost approach that enables markets to identify the most efficient emissions‑reduction pathways.

Hydrogen aligns most directly with clean energy and innovation pillars, supported by the Emissions Trading Scheme and complementary policies designed to level the playing field for low‑emissions technologies. Within this framework, standards help translate policy intent into practical, deployable solutions.

A staged approach to the hydrogen ecosystem

Standards New Zealand has taken a supply‑chain‑led approach to hydrogen, recognising the complexity of building an entirely new energy ecosystem. This approach prioritises standards development and adoption across three stages:

1. Stationary energy and storage
   Early efforts focus on large‑scale hydrogen production and storage, often co‑located with existing energy hubs such as Taranaki and geothermal facilities near Taupō. These assets support heavy transport, industry, and export opportunities while building economies of scale.
2. Semi‑centralised hydrogen distribution
   In regions where permanent infrastructure is not yet viable, mobile distribution using road and rail networks enables hydrogen uptake through containerised refuelling and storage solutions.
3. Decentralised hydrogen distribution
   The longer‑term stage extends into residential and distributed generation markets, including blending hydrogen and biomethane into existing gas networks. The revision of NZS 5442 in 2025 supports this transition by enabling higher levels of low‑emissions gas in reticulated systems.

Unlocking investment through standards

To support private investment, the Government’s Hydrogen Action Plan focuses on enabling regulation, market access, investment incentives, and faster consenting processes. Standards play a crucial role across all four areas by:

• Providing clear safety and performance benchmarks
• Supporting international market access through mutual recognition
• Reducing regulatory uncertainty for investors
• Ensuring hydrogen systems integrate safely with existing infrastructure

Years of collaborative work by technical experts have culminated in a comprehensive New Zealand hydrogen standards framework, including the adoption and modification of international ISO hydrogen standards. This framework corrects regulatory gaps and provides confidence for developers, regulators, and communities alike.

Meeting growing global demand

Global demand for hydrogen is rising rapidly, driven by net‑zero commitments across Europe and Asia. Major investments by the European Union and Japan signal strong long‑term markets for clean hydrogen and its derivatives.

New Zealand is well positioned to participate in this global transition, supported by its renewable electricity base, innovative clean‑tech companies, and increasingly robust standards environment.

Key takeaways

The presentation concluded with four clear messages:

• Transformational energy change is not new - history shows adoption depends on systems, not just technology.
• Technology must serve the public interest, delivering safety, resilience, equity and long‑term value.
• New Zealand is at an energy inflection point, undergoing a structural shift toward decentralised, prosumer‑led markets.
• Electrification alone is not enough - hydrogen, supported by clear and internationally aligned standards, is a critical enabler of net zero.

By developing anticipatory standards rather than reactive ones, Standards New Zealand is helping ensure that clean energy technologies can be deployed safely, efficiently and at scale, supporting both domestic decarbonisation and international opportunity.