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Gull proves sustainable biofuels are affordable

14 May 2008 Media Statement

Gull proves sustainable biofuels are affordable in NZ

Energy Minister David Parker has congratulated Gull Petroleum for proving biofuels can be sustainable and affordable.

“Gull is ahead of the pack on this one, and I’m sure they will reap the benefits,” the Minister said.

Gull announced today that it has now sold enough biofuels that it would have met the first year sales obligation of 0.53 percent, if it were already in place.

The company had also defied predictions from some that biofuels would drive up prices.

“Gull says it’s selling its product at between 3 and 7 cents less than a comparable non-biofuel product,” David Parker said.

“We know that the cost for extra infrastructure needed to store biofuels safely may be more for other companies, but even taking that into account, I’m advised that the impact on prices of that infrastructure investment should be less than one cent on a litre of fuel.

“Biofuels are affordable and Gull has proven they can be sustainable too.”

The bioethanol that Gull blends into its regular petrol is sourced from whey, a by-product of the dairy industry.

“The government, with the support of the Greens, is determined that New Zealand will source its biofuels from sustainable sources like whey, which don’t compete with food or cause the destruction of valuable ecosystems.”

“Biofuels are a long-term solution, and we’re working on the best way to make sure we’re moving forward with this new technology and making sure biofuel sources are sustainable.”


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