Despite this particular security issue identified in 2006, Britain still issues 10 year passports to its citizens, Britain also maintains visa free access to more nations than New Zealand does, despite having ten year passport validity.
Canada will also be adopting biometric passport technology in July, and their new passports will be valid for 10 years, if these two developed countries don't see security as a reason to hinder issuing 10 year passports, there is little reason for New Zealand to continue issuing 5 year passports.
Our government is presently considering a 4.5 year passport, perhaps they should use this time to also review the option of 10 year NZ passports.
http://computerworld.co.nz/news.nsf/NL/61DD9AC9B01A7D68CC257230000696BD