Time for Labour to back down on disastrous oil and gas stance

ACT is celebrating ahead of the expected passage of the Crown Minerals Amendment Bill, and calling on Chris Hipkins to put to rest Labour's opposition to oil and gas exploration.

“Repealing the oil and gas ban is a crucial step toward energy security, lower power bills, and more high-paying jobs for Kiwis trying to keep the lights on and the heaters running," says ACT Leader David Seymour.

“Labour’s 2018 ban – backed by New Zealand First and the Greens – was some of the most reckless economic vandalism this country has ever seen. It sent a message to the world that New Zealand is a politically volatile place where investment isn’t safe. New Zealand First has since changed its stance, and it's time for Labour to follow suit.

"In introducing the ban, Labour didn’t consult the public, they didn’t ask the experts, they didn’t even take it to Cabinet. They simply stood at a podium, banned offshore oil and gas exploration, and declared victory.

“As I said at the time,‘The intention is we lead the world in environmental policy. The outcome is the world thinks we're foolish idiots in a kind of banana republic that can't make laws in a predictable, principled, or stable way’.

"And it did send a clear message to the world: New Zealand is a risky, politically volatile place to invest. Investors who had already committed to our country were blindsided. And for those considering long-term, billion-dollar investments, Labour’s reckless ban would certainly make them think twice. Meanwhile, Labour was happy for power companies to import dirty coal for our energy needs.

“Labour made the announcement to get international headlines. But they never stopped to think about the real-world consequences for New Zealanders' livelihood.

“Unlike wind, solar or hydro, gas is there when you need it, not just when the sun shines or the rain falls. It’s a critical part of a reliable, affordable energy mix. Most importantly, reliable gas keeps our bills down. It powers the factories, heats the homes, and fuels the economy.

"Kiwis can rejoice that we've shrugged off the legacy of Jacinda Ardern and are replacing ideology with a practical approach to reliable, affordable energy.

"Now, Chris Hipkins needs to prove Labour has matured under his leadership. Regardless of how his party votes today, he ought to confirm Labour backs stable, pro-investment settings – not see-saw changes that would only serve to further damage New Zealand's attractiveness as a place to invest and be productive."