Lines crews have been working overnight to reconnect properties cut off by severe weather across the Queenstown Lakes and Central Otago electricity network.
Aurora Energy said the number of homes and businesses still cut off late last night was estimated to be about 1100, down from a peak of 4500.
This morning a spokesperson said about 420 homes and businesses remained without power.
It said power could be restored at any time, so people should treat all electrical appliances and equipment as live.
Aurora Energy yesterday said there were multiple reports of downed trees and power lines.
Yesterday, crews were out clearing debris in Queenstown, keeping firefighters busy.
MetService said the rain and wind was getting weaker as it moved north.
SOUTH ISLAND ADVISORY - 6:40AM THURS 24 JAN— NZTA Otago/Southland (@NZTAOS) January 23, 2019
Last night’s wild weather seems to have eased off.
There are currently multiple events impacting the state highways in the South Island at this time.
Go to our Traffic Map for details: https://t.co/yoTa7IYu1j. ^JP pic.twitter.com/Q7xoYXqiGw
Forecaster Sarah Garlick said it all turned sour very quickly.
"It came through with quite a bit of a bang as well - and getting strong winds from the southerly direction isn't super usual for them, so it's not surprising that they've seen some damage."
Meanwhile, police said a deluge that hit Wellington late last night caused only minor flooding.
MetService said winds peaked at about 100km/h, 12mm of rain fell, and the temperature dropped sharply as the area was hit by a burst of hail and flashes of lightning.