8 March 2011

As petrol prices soar, WWF-New Zealand is reiterating its calls on the government to break New Zealand's dependence on oil by investing in a domestic bio-fuels industry amongst other sustainable transport solutions.

The conservation organisation says the government has had many warnings about oil price spikes such as the one now gripping the country[1], and needs to factor alternatives to oil into its energy planning, as a safety net for New Zealanders hit by the soaring petrol prices.

In October last year The Parliamentary Library released a research paper which concluded that supply crunches and price spikes over the next five years are very likely, leaving the New Zealand economy exposed. In November last year an International Energy Agency (IEA) report warned governments that oil prices will increase if they fail to take action to reduce demand.

Peter Hardstaff, Climate Change Campaigner at WWF-New Zealand said: "The rise in prices at the pump are no surprise - all the signs point to this trend continuing, yet in the government's most recent energy proposal there is no plan to move us away for our oil dependence, or to soften the blow for Kiwis."

In July last year, the government published its Draft Energy Strategy which stated that the government would not "pick winners" in addressing New Zealand oil security and resilience, but would leave it up to the "decisions made by consumers as they respond to oil prices."

However, a public opinion poll by Colmar Brunton commissioned by WWF in August 2010 showed seven out of ten New Zealanders believe it is the government's task to plan ahead, and invest now in public transport and alternative fuels to head off the impacts of rising oil prices.

Public submissions on the Draft Energy Strategy have been with the Minister for Economic Development for consideration since September 2010 and his response and redraft is expected by the end of this month (news eds: March 2011).

Mr. Hardstaff said: "While the Minister is redrafting his Energy Strategy all he needs to do is look around and see the huge pressure petrol prices put on Kiwi households. There is still time to put a plan in place that can help New Zealand transition towards being a more sustainable, less oil dependent country. WWF calls on the government to develop a coherent strategy that includes investment in more sustainable transport options and the development of home-grown biofuels."

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