Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Oil security report released for comment

Tuesday 14 December 2004

Oil security report released for comment

Energy Minister, Pete Hodgson, today released a report outlining options for improving New Zealand’s oil security. Comments are welcomed on the report by 2 February 2005.

The report, commissioned by the Ministry of Economic Development, found that approximately 500,000 tonnes of additional storage is required to ensure New Zealand is fully compliant with its obligation as a member of the International Energy Agency (IEA) to hold 90 days of oil stocks. The report also concluded that the cost of meeting this requirement would equate to less than one cent per litre at the pump.

"Our economy is heavily dependent on oil imports. New Zealand is at the end of a long external supply chain and has few immediately available supply alternatives. A significant disruption to international oil supplies, however unlikely, would have serious consequences for us," says Pete Hodgson.

"Having an adequate supply buffer to cover 90 days of imports is a sensible precaution to take. It is also my view that we should look seriously at holding more than this. Under IEA rules, holding more than 90 days of stocks would enable us to draw from them rather than introducing demand constraints in the event of a supply disruption.

“Cabinet has decided that oil companies should be responsible for providing adequate stocks, not the taxpayer. I'm keen to continue working constructively with oil companies to meet the 90 day reserve level as cost effectively and quickly as practicable."

The IEA was established by developed countries following the 1973 oil supply crisis to take a unified approach to coping with international oil supply disruptions. New Zealand joined in 1976.

The report is available at


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Scoop 3.0: How You Can Help Scoop’s Evolution

Entering into its third decade of operation, the Scoop news ecosystem is set to undergo another phase of transformation and evolution.

We have big plans for 2018 as we look to expand our public interest journalism coverage, upgrade our publishing infrastructure and offer even more valuable business tools to commercial users of Scoop. More>>


Speaking Of Transport: Public Engagement On Wellington Scenarios

“Our work on possible solutions for Wellington’s transport future is ongoing, but has progressed to the stage where we’re ready to share our ideas with the public and seek their feedback to help guide our next steps...” More>>


Parental Leave: National's Time-Sharing Change Fails

National has proposed a change to the Parental Leave and Employment Protection Amendment Bill that would allow both parents to take paid parental leave at the same time, if that is what suits them best. More>>


Train Free Thursday: Workers Strike To Defend Terms Of Employment

"They signed up to these conditions a year ago when they got the contract for Wellington's rail services. Now they're trying to increase profits by squeezing frontline workers." More>>


Seclusion: Ombudsman Emphasises Importance Of Monitoring

Disability Rights Commissioner Paula Tesoriero says that while there have been changes to the Education (Update) Amendment Act 2017 to prohibit the use of seclusion, the report is an important reminder of the importance of regular monitoring of schools. More>>


United Future History: "All Good Things Must End"

'We’re extremely proud of what we’ve achieved over the past 15 years, working alongside the government of the day, both National and Labour.' Mr Light told members on Monday. More>>

Gordon Campbell: On The TPP Outcome, And The Hobbit Law

Somehow the Trans Pacific Partnership trade deal has come lurching back from the dead – and as predicted in this column last week, the member countries gathered in Vietnam have announced a deal in broad principle, shunted aside until a later date the stuff on which they don’t agree, and declared victory. More>>

Agreeing To Differ: Greens Maintain Opposition To TPPA
“The Green Party has long opposed the TPPA. The new proposed deal, which came out of the weekend’s talks, still contains key ISDS concessions to corporations that put our democracy at risk, so our position remains the same,” said Green Party trade spokesperson Golriz Ghahraman. More>>


Monitoring Report: A New Chapter For Children’s Rights In New Zealand?

The Children’s Commissioner is calling on the country to embrace children’s rights to ensure their overall well-being. More>>





Featured InfoPages

Opening the Election