Key Government hides from the truth about oil

The Green Party is once again calling on John Key's Government to open a formal inquiry into the effects of an imminent oil price shock.

“I have approached the Government both informally and formally and each time I have been rebuffed,” Dr Russel Norman, Green Party Co-leader said today.

In June, the National and ACT Party members of the Finance and Expenditure Committee scuttled the Green Party's proposal for a Select Committee inquiry into the imminent oil crunch. Colmar Brunton research commissioned by the World Wildlife Fund (WWF) has shown that 72% of New Zealanders think the Government should prepare now for future oil price rises by investing in alternative fuels and public transport.

“This is what the Green Party has been saying for some time and it is now clear that this is what the public wants and our economy needs,” Dr Norman said.

“Minister Brownlee's draft Energy Strategy is light on substance and lacks any kind of a plan for responding to this risk to our energy security. The public see right through it.

“It's common sense to plan ahead when trouble is on the horizon. John Key needs to step up and help the nation prepare, because his Energy Minister will not.

“Until then, this Government‘s head in the sand response to the end of cheap oil will prove very damaging for New Zealand,” Dr Norman said.

The International Energy Agency (IEA), the US Department of Energy, and Lloyd’s of London are all warning of an imminent oil supply crunch and price spike. Dr Norman is concerned that all these institutions have made it very clear the world is facing an oil price shock in a few short years and this will have a very significant impact on the world economy.

“No matter how many new oil wells are drilled, New Zealand’s economy will be hit hard by the coming price shocks. It’s time to face the future rather than stick our heads in the sand in the hope that this problem will all go away.

“I encourage anyone concerned about our economy to make a submission on the draft Energy Strategy,” Dr Norman said.


The Green Party's submission guide on the draft Energy Strategy:
http://www.greens.org.nz/takeaction/submissionguides/2010-energy-strategy-submission-guide

Link to IEA report on the likely shocks to oil production and prices:
http://www.independent.co.uk/news/science/warning-oil-supplies-are-running-out-fast-1766585.html