September 2022
Industry update: what we're seeing
Around the world countries’ energy sectors are in turmoil. Problems abound, and politicians are not sure whether to tax energy companies more or subsidise them – or even a confused combination of both.
But where the world might be squabbling about their energy problems, here in New Zealand we have been focussed on solutions.
What a month it has been.
We were proud to launch Fuelling the Energy Transition. This definitive report clearly shows the challenges and opportunities facing New Zealand’s energy industry, and the effects that certain policies could have on our journey to net zero carbon emissions.
The report is the culmination of months of work by our team and external consultants. It shows that as a country we have choices to make about how we get to net zero – and that these choices have consequences. A disorderly transition risks imposing at least $6.3 billion in unnecessary costs on consumers, with no benefit to our emissions profile.
We know that lowering emissions across the economy through reductions and offsets is vital to achieving New Zealand’s emissions goals. As a sector, we take this responsibility seriously.
Earlier this month we were proud to launch a first for New Zealand, the Energy Resources Sector Net Zero Accord. Signatories to the Accord have pledged to continue to reduce their Scope 1 & 2 emissions, support customers’ decarbonisation plans, scale low-emissions energy, and continue to supply affordable, reliable, and low-emissions energy.
We are proud of the commitment made by Todd Energy, OMV New Zealand, Beach Energy, and Tamarind New Zealand Offshore Ltd, and invite other energy producers, distributors, and users to become additional signatories to the Accord.
Finally, to cap off the already big month we launched a revamped Energy Resources Aotearoa Taranaki Energy Forum. This new Forum set a new standard for sector events.
Throughout the day we heard from high calibre speakers on the issues that are pertinent to the energy sector today. Topics covered included geopolitics, energy storage, new energy, the Government's work programme, the Gas Transition Plan, and a case-study on carbon capture and storage technology underway in Australia.
We were delighted to see so many of our members, other industry leaders and officials. Thank you to all those who attended and sponsored the event, and also to our partners Freeman Media.
Our 50th anniversary video
This year we marked 50 years of Energy Resources Aotearoa.
Our organisation began in 1972 as PEANZ, the Petroleum Exploration Association of New Zealand. It was a boom time for oil and gas exploration in New Zealand following the discovery of Kapuni in 1959 and Maui in 1969, New Zealand's first off-shore well.
We later added a further P to our acronym for Production, and became PEPANZ.
Finally, we undertook our most significant reinvention in 2021 when we expanded our focus and membership to include other forms of energy. We now cover the entire energy value chain, from explorers and producers to distributors, sellers, and users, of energy resources like oil, LPG, natural gas, refined products, and hydrogen.
This short video is a story about our history, our role as a sector, and our ambitions for the future.
Competition and changing customer expectations mean that businesses, products and services have to find new ways of delivering value if they are to survive and thrive. If they don't, they will quickly be replaced by something better.
Events are no different.
This month we launched a revamped Energy Resources Aotearoa Taranaki Energy Forum.
Expectations were high - and we delivered.
We were proud to see more than 150 people attend the Forum to listen to and discuss presentations from leaders across the energy sector.
Thank you to all those who attended and sponsored the Forum. And a big thank you to our partners at Freeman Media for helping to organise such a prestigious and engaging event.
Fuelling the Energy Transition
Our latest report shows that collaboration between the Government and New Zealand’s energy resources sector could help save energy consumers up to $6.3 billion in the coming years as the country transitions to net zero carbon emissions.
New Zealand must keep a broad range of energy options open in order to achieve a net zero carbon emissions economy in an affordable way.
This report analyses plausible future scenarios. It finds that an orderly and affordable transition to net zero emissions is one where natural gas continues to play an important role in our energy mix.
Energy Resources Sector Net Zero Accord
We are proud to be the convening partner for the Energy Resources Sector Net Zero Accord.
New Zealand's energy resources sector needs to be a leader in reducing emissions and driving New Zealand towards its national net zero target by 2050. To achieve this, we have established a national Energy Resources Sector Net Zero Accord. The Accord will pave the way for the industry to continue to reduce its Scope 1 & 2 emissions and support an affordable, reliable, and
low-emissions energy system.
The Accord is a first for New Zealand's upstream oil and natural gas producers (Todd Energy, OMV New Zealand, Beach Energy, and Tamarind New Zealand Offshore Ltd) and shows their commitment to reduce emissions.
We welcome the commitment producers have made and encourage other participants in the energy sector to become Accord partners.
We look forward to keeping you updated about signatories' progress towards the Accord's commitments.
Government biofuels partnership
A new partnership between the Government and our member Oji Fibre Solutions has been announced to boost the development of sustainable wood products, hydrogen and biofuels at the Kinleith Mill near Tokoroa.
We welcome this announcement and look forward to the findings of the study. We hope that it will shed light on the viability of hydrogen and bio-fuels and the role they could play in New Zealand's energy mix.
Economists support ETS
A new survey from the New Zealand Association of Economists shows that members of the economics profession believe the Emissions Trading Scheme is the best tool to get us to net zero carbon emissions.
This is consistent with our long-held policy position and support for the ETS to help us achieve New Zealand's net zero emissions goals.
Economists also strongly supported the introduction of a carbon dividend to address equity issues, rather than measures such as electric vehicle subsidies. 45% of respondents strongly agreed with the carbon dividend, 48% agreed, and only 2% disagreed.
United voice on Gas Transition Plan
Energy Resources Aotearoa is proud to have joined with GasNZ and the Major Gas Users Group (Inc) to provide united input into the Government's upcoming Gas Transition Plan.
Our joint group is united in the view that gas - in its many forms - will be vital to an beyond New Zealand's transition to net zero carbon emissions.
We have commissioned Castalia to prepare a report that will showcase the sector's perspective on pathways, opportunities and trade-offs to be made during the transition to a net zero carbon emissions economy.
Meet the Chief Executive - Transpower's Alison Andrew
Energy Resources Aotearoa is proud to invite you to the latest in our Meet the Chief Executive series of events on 11 October.
Demand for electricity is set to increase dramatically as a result of a growing population and more people choosing electricity to power their vehicles and heat their homes.
How is Transpower meeting these challenges? Can the network keep up with growing generation and demand? How resilient is our national grid when exposed to severe weather events and climate change? And what should we make of the changing role of gas and renewables in New Zealand's electricity system?
These informative events are your chance to hear from leaders in the energy sector. A presentation will be followed by questions and discussion from the floor, and a light lunch served after 1pm.
Tickets are essential. Register now to ensure you do not miss out.
Kindly hosted by PwC.
Member profile: Atlas Professionals
Atlas Professionals is a global leading recruitment company in the oil and gas, marine and renewables industry with 25 offices in 18 countries.
Atlas Professionals has grown to become a no-nonsense, dependable HR and Recruitment service provider in the energy and marine industries with a mission to turn complex personnel challenges into transparent and secure solutions. Their values are at the heart of everything they do and investing in people is important to them; they are transparent, open and straightforward and do what they promise.
With a long history in the New Zealand oil and gas sector both onshore and offshore, Atlas Professionals has a range of value-added offerings bespoke to the local market including temporary staff placements in any office or field role, industrial catering, fully serviced rig-camps, and marine logistics.
They would be happy to speak to any potential clients about their upcoming projects, please contact Atlas Professionals’ General Manager – Russell Petrie 021 609 125 or rpetrie@atlasprofessionals.co.nz, or come in to the office at 2 Devon St in the centre of New Plymouth CBD.
