Toast Electric expands to help families facing winter hardship
Toast Electric has announced its expansion into Horowhenua and Wairarapa as many New Zealand families enter winter unable to afford adequate heating for their homes.
The community enterprise, which is currently serving 1,100 homes and supporting over 250 families through its Energy Wellbeing programme, was launched by Sustainability Trust in 2022. It uses a model where every four paying households or small businesses switching to Toast supports one household experiencing energy hardship.
Phil Squire, Head of Toast and a national expert in healthy homes assessments, stated that current compliance measures are insufficient to ensure the wellbeing of families. Squire commented, "Too many New Zealanders are being failed by a system that confuses compliance with care. This winter, we're seeing families who are in homes that are technically 'compliant' with the rental Healthy Homes Standards but still living in freezing conditions, making impossible trade-offs between heating and food. Compliance doesn't guarantee wellbeing and it's time we stopped pretending it does."
The Energy Wellbeing programme offers a mix of assistance, including affordable electricity pricing with a 30% discount during winter, reconnection services for families cut off from power, and in-home energy advice from trained assessors. Squire described the model: "It's not just a bill reduction - it's a full-circle model that focuses on what truly makes a home healthy and liveable." Households join Toast through a network of financial mentors and social service agencies that offer financial advice and broader support prior to referral.
Data from Consumer NZ and the University of Otago indicates more than 360,000 households in New Zealand experience energy hardship. In the past year, over 140,000 families have taken out loans to pay energy bills, with more than 40,000 homes at risk of disconnection annually. Squire said, "These are not edge cases - they are the reality for hundreds of thousands of families, many of them renting in poor-quality housing stock that remains difficult or outright unaffordable to heat."
Issues with compliance
The Healthy Homes Standards were designed to improve rental housing quality, yet Squire highlighted limitations in enforcement and actual measurement of outcomes. He noted, "The current system allows landlords to self-certify compliance and take advantage of multiple exemptions, meaning many rental homes may appear up to standard on paper but remain cold, damp and unhealthy in practice."
Toast is calling for a national Home Energy Warrant of Fitness (WOF), similar to systems in place in Europe and the UK. The Home Energy WOF would require independent, licensed assessors to verify whether homes are safe, warm, and energy-efficient. Squire posed the question: "We wouldn't let someone certify their own car as roadworthy...so why are we doing that with the places people sleep, raise their children and try to stay healthy?"
Programme impact
The Toast model is underpinned by reinvested revenue and aims to offer not only electricity savings but also improved living conditions. The organisation stresses that support should go beyond asking families to use less power, ensuring homes become healthier and more affordable to run.
Story examples from those assisted by Toast illustrate the ongoing need. One Wellington man who had been without electricity for two years was finally reconnected via the Energy Wellbeing programme, and described being able to take a hot shower without using a torch. Others reflected on the relief of being able to turn on heating without fear of an unaffordable bill.
Research from the University of Otago has identified broader effects of reducing energy bill-related stress. Dr Kimberley O'Sullivan, who is leading research into Toast Electric's Energy Wellbeing programme, stated, "We've heard from Toast Electric's referral partners, Energy Wellbeing Customers and Regular Customers who all report...improved wellbeing and describe how relieving electricity bill stress enables them to feel more comfortable and relaxed at home and better connect with their family, friends and community. Regular customers also feel good about being able to help others in need while paying their electricity bills they would already be paying. Toast Electric's not-for-profit model is working within the market framework to deliver essential electricity and improve wellbeing."
Looking ahead
Toast's current plans include expanding into Horowhenua and Wairarapa, and doubling its customer base over the next year, in addition to growing its network of referral agencies. The organisation maintains its focus on supporting families and challenging existing systems of compliance and measurement within the energy and housing sectors. "Energy should be a right, not a luxury," says Squire. "And until we make that true for every family in Aotearoa, we're not done."
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