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Gas and petroleum decision is economic vandalism

Gas and petroleum decision is economic vandalism

The Government’s decision to ban gas and petroleum exploration is economic vandalism that makes no environmental sense, National MPs Jonathan Young and Todd Muller says.

“This decision will ensure the demise of an industry that provides over 8000 high paying jobs and $2.5 billion for the economy,” Energy and Resources Spokesperson Jonathan Young says.

“Without exploration there will be no investment in oil and gas production or the downstream industries. That means significantly fewer jobs.

“This decision is devoid of any rationale. It certainly has nothing to do with climate change. These changes will simply shift production elsewhere in the world, not reduce emissions.

“Gas is used throughout New Zealand to ensure security of electricity supply to every home in New Zealand. Our current reserves will last less than ten years – when they run out we will simply have to burn coal instead, which means twice the emissions.

“The Government says that existing wells will continue but that’s code for winding the sector down.

Climate Change Spokesperson Todd Muller says the decision makes no sense – environmentally or economically – because less gas production means more coal being burnt and higher carbon emissions.

“Many overseas countries depend on coal for energy production. Those CO2 emissions would halve if they could switch to natural gas while they transition to renewable energy.

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“By stopping New Zealand’s gas exploration we are turning our backs on an opportunity to help reduce global emissions while providing a major economic return to improve our standard of living and the environment.

“We need to reduce global CO2 emissions. But there is no need to put an entire industry and thousands of New Zealanders’ jobs at risk.”

Mr Young says the Government’s decision today is another blow to regional New Zealand, and Taranaki in particular.

“It comes hot on the heels of big decisions that reduce roading expenditure, cancel irrigation funding, and discourage international investment in the regions.

“This is simply Jacinda Ardern destroying an industry in the cause of a political slogan pushed by Greenpeace.”

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