New Zealand In terms of impacts on hydro-electricity, the drought of 2001 was the worst in 71 years according to a report from the New Zealand Ministry of Energy. A complicating factor in the energy sector was the unusually cold start of the winter season which increased demand while water resources for production were limited. During June 2001, electricity demand reached record high levels. The IRI seasonal temperature forecast for the period December 2001 - February 2002 indicates a greatly enhanced probability for above average temperatures across the South Island. However, demand is not as sensitive to temperature during the coming season. (New Zealand Ministry of Economic Development Report)