Anti-oil greenwash adds costs for no gain

April 13, 2018

A friend who has a horticulture business estimates the government’s ban on further offshore oil and gas exploration will add around half a million dollars a year to his costs of production.

That comes on top of a similar amount more he’ll be paying for labour with the increases to the minimum wage.

He might be able to absorb some of the increased costs but will have to pass on at least some of the increase.

Food in New Zealand is already expensive. Government policies will make it even more expensive and will also lead to job losses.

Adding extra costs for green wash is economic vandalism for no environmental gain.

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.

“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.”

You can sign a petition against this economic vandalism for no economic gain here.

When oil and gas are mentioned, we think of fuel for vehicles.

But oil isn’t just used for fuel.

Filling up at the gas station is certainly one of the ways to use oil that is most familiar to us. But guess what: of all the oil we use, only 43 per cent goes to fueling our cars.

Given this, can we seriously consider ending our “dependence on oil”, as some would suggest? Someone who wants to stop using oil will have to say goodbye to smart phones, ballpoint pens, candlelight, clothing made of synthetic fibers, glasses, toothpaste, tires (including those on bicycles), and thousands of other products made from plastic, a petroleum derivative.

Good luck with that program.

Problem is, the anti-oil discourse so demonized this resource that we came to forget the many benefits conferred by its use. Oil and its derivatives have improved living conditions in Western industrialized societies, as the list quoted above quite clearly demonstrates, but also worldwide. In Africa, for example, earthenware jars used to transport water have been replaced by plastic jars, which are much lighter, providing some relief to women who have to carry out this task.

What’s more, some of these products shaping everyday life are designed locally. That’s the case for Eska water bottles or Kraft mayonnaise recipients, manufactured in Montreal. So much so that a high-technology sector has emerged around Montreal refineries over the years, providing quality jobs for more than 3,600 workers. . . 

Like other greenwash, the anti-oil movement has gained traction based on half-truths and emotion.

Like other greenwash, the government’s decision to ban offshore exploration will come at a high economic and social cost with no environmental gain.

Like other green wash the ban is about doing something, not doing the right thing,

Advertisements

O&G exploration ban greenwash

April 12, 2018

The government’s decision to stop offshore oil and gas exploration is nothing but greenwash.

National Opposition energy and resources spokesman Jonathan Young said the decision had come without any consultation with industry.

“The Government had promised to consult but have now made an abrupt decision to stop any new offshore exploration,” he said. 

New Zealand has only about 10 years supply of gas reserves left, he said.

“So in 10 years time we will be buying imported gas to fire up the barbecue,” he said.

Young said 20 per cent of nationwide electricity generation depended on gas.

“What will replace gas as the demand for more electricity rose with electric vehicles and we don’t have enough renewables.

“It will be coal – good one Government.”

This move will do nothing to reduce the use of oil and gas in New Zealand or elsewhere.

It will just mean importing oil and gas from elsewhere. That will be more expensive and worse for the environment.

New Plymouth mayor Neil Holdom called the decision a “kick in the guts” for the Taranaki economy.

The industry provided directly and indirectly up to 7000 jobs in the region.

“It was a kick in the guts for the long term future of the Taranaki economy and urgent work was needed on a plan to maintain Taranaki’s position as the provincial powerhouse of New Zealand’s economy,” he said. . .

Any gain from the projects which got money from the Provincial Growth Fund last week will be more than cancelled out by the jobs lost in the oil and gas industry and those who service and supply it.

This policy is economic sabotage for no environmental gain from a government long on rhetoric and virtue signaling and very short on reason.

 

 


Rural round-up

July 31, 2017

MPI urges vigilance – Annette Scott:

While he may be the first in New Zealand to have the cattle disease Mycoplasma bovis detected on his farm, South Canterbury dairy farmer Aad van Leeuwen is confident he won’t be the last.

The Ministry for Primary Industries notified the detection of Mycoplasma bovis (M. bovis) disease on a South Canterbury dairy farm on July 25, but the identity of the property wasn’t revealed until four days later, on Friday, prompting speculation to run rife meantime.

Devastated that the disease – listed as an unwanted organism under NZ’s Biosecurity Act 1993 – had hit his dairy operation, van Leeuwen said he was co-operating 100% with MPI. . .

Japan frozen beef tariffs expected – Alan Williams:

New Zealand beef exporters are facing 50% tariffs on frozen exports to Japan over the next eight months.

Suppliers in this country have been caught in the reaction to big shipments from Australia, and especially the United States this year, so that total volumes have reached a trigger point at which the Japanese government has decided it needs to protect domestic farmers. . .

Give up farming generate power – Neil Malthus:

Farmers installing solar power can now get a better return from it than from farming itself, a solar power installer claims.

Electrical contractor Andrew Wells, of ABW Electric, Christchurch, recently set up Sunergy Solar to market solar photovoltaic systems. His company specialises in farm installations, marketed at farming field days and A&P shows; it also does residential systems.

Wells sees huge potential for solar power on farms: electricity charges for a dairy shed average $5000 – $6000 a month and solar panels now cost only about 8% of what they did 10 years ago. . . 

More wool needed for a brighter future – WNZ – Pam Tipa:

Greater sales volume is critical for Wools of NZ, says chair Mark Shadbolt.
The trademarked scouring process Glacier XT will be a more volume-focused business, he says.

“That will create lot more demand. It is creating a wool that is a lot whiter and brighter and is the sort innovation and technology we need to invest in to add value to the wool.

“We have had a lot of interest in the market for it because the brightness is the key aspect that the industry hadn’t been able to acquire until this technology became available.” . .

Southland a winner – Sonita Chandar:

Southlander Katrina Thomas knew “absolutely nothing about cows” when she and husband James Dixon converted to dairy farming.

But she turned that lack of knowledge around by joining the Dairy Women’s Network (DWN) and volunteering her time to the community.

It is this generosity that saw her win the 2017 Dairy Women’s Network Dairy Community Leadership award. . .

NZ’s prosperity still tethered to farm gate – Liam Dann:

There’s nothing like a biosecurity scare to remind us that New Zealand’s economic prosperity is still – for better or for worse – tethered to the farm gate.

The instant that news of the Mycoplasma bovis outbreak in South Canterbury hit the headlines last Tuesday the dollar plunged.

Luckily it only dropped 20 basis points (0.2 per cent) before it became apparent that this was a more benign disease than foot and mouth.

But it was enough to put a deep V shape in the daily dollar chart and illustrate how quickly a more serious outbreak could take this country to the brink of recession. . .

Fonterra Australia increase farmgate milk price for the 2017/18 season:

Fonterra Australia has today advised its farmers of an increase of 20 cents per kilogram of milk solids (kgMS) to its farmgate milk price for the 2017/18 season, bringing its average farmgate milk price to $5.50kgMS. The increase will apply from 1 July 2017 and will be paid on 15 August 2017.

Fonterra’s additional payment of 40 cents/kgMS is payable on top of the revised farmgate milk price, and brings the total average cash paid to $5.90kgMS.

Fonterra Australia Managing Director René Dedoncker said that improved market conditions and the strength ohf the Australian business supported this step up. . . .


Three more years

August 3, 2015

Tiwai Point smelter will stay open for at least another three years:

The Tiwai Point aluminium smelter will stay open until at least 2018, with a new agreement reached between owner New Zealand Aluminium Smelters (NZAS) and electricity suppliers Meridian and Contact.

The revised contract will see 572MW of energy supplied to the smelter until 2030, with NZAS able to reduce the load or terminate the deal altogether from 2018, depending on market conditions.

“We have crossed a hurdle today and now have more certainty about our immediate future,” says NZAS chief executive Gretta Stephens.

“The agreement provides short-term security for the smelter and allows time for market fundamentals to improve.” . . .

Aluminium is a commodity and like many others, including dairy produce, it is in the midst of a downturn.

The announcement the smelter will stay open will be a relief to the hundreds of people working there, the businesses which service and supply it and the wider Southland economy.

It is probably good news for Meridian and Contact shareholders too. Even though the smelter gets power at a discounted price, losing such a big customer would have hurt the companies, though it might have meant lower power prices for the rest of us.


Rural round-up

June 6, 2015

Biofuels, grain and the American Midwest – Keith Woodford:

The American Environmental Protection Agency (EPA) has recently announced plans to reduce the 2015 and 2016 legal requirements for biofuels within American fuels. At the same time, the American Midwest looks like it could be heading for a bumper harvest year, possibly beating last year’s records.

The reason the Midwest is so important is that it is the American grain bowl. Increasingly, the Midwest is also becoming the centre of the American dairy industry. The twelve key contiguous states are Ohio, Michigan, Indiana, Wisconsin, Illinois, Minnesota, Iowa, Missouri, North Dakota, South Dakota, Nebraska and Kansas. . .

Nominations open for 2015 agribusiness leadership awards:

Nominations have opened for this year’s prestigious Rabobank Leadership Awards – recognising the contribution of outstanding leaders in New Zealand and Australia’s food and agribusiness industries.

The annual awards, which are now in their tenth year, acknowledge the important role played by senior leaders in New Zealand and Australia’s agribusiness and agri-related industries with the Rabobank Leadership Award, which was last year won by the Australian Farm Institute’s Mick Keogh.

A second award category now in its third year, the Rabobank Emerging Leader Award, recognises up-and-coming young leaders in the sector. In 2014, this award went to Bryce Camm from the Camm Agricultural Group. . .

Farmers keen to do their bit for meat export market boost:

Federated Farmers says the New Zealand meat export industry needs to make up lost ground with a boost to marketing New Zealand beef and sheepmeat overseas.

Meat and fibre spokesperson Rick Powdrell says the figures show primary industries in other countries are outmuscling New Zealand meat in our export markets.

“Beef + Lamb New Zealand has identified we aren’t putting enough effort into promoting our meat exports at the moment and it has been working with the meat industry to get a joint farmer/industry promotion of NZ$7 – $8m a year commitment together. I commend that.” . . .

 

Shape of the meat industry – Rick Powdrell:

The Meat Industry Excellence (MIE) report, Pathway to Long – Term Sustainability, has come and gone. Well that’s what it appears, as little of a positive nature has eventuated from its contents.

Why has that been the case?

For one, it would appear that few farmers have actually read it. So does that tell us farmers didn’t believe in MIE’s concept for the report, or that they don’t wish to engage in any industry discussions relating to structural change?

I would say both, as some farmers from all around New Zealand have expressed their feelings that industry structure should not be the main focus. . .

Government supports New Zealand forestry exporters to combat illegal logging:

The Government has today launched a new tool for exporters of New Zealand-grown forestry products to help combat illegal logging of tropical forests, Associate Primary Industries Minister Jo Goodhew says.

“From 15 June this year information statements will be available for our exporters to use when they send products to countries who have imposed requirements to combat illegal logging,” says Mrs Goodhew.

New Zealand’s legislation, and specifically the Resource Management Act 1991, mean that New Zealand’s planted forests are produced sustainably.

“New Zealand has a comprehensive regulatory system covering the legality and sustainability of the harvesting of our planted forests. We want to help our exporters tell this story,” says Mrs Goodhew. . .

Kauri dieback donation welcomed:

A generous donation towards protecting our native kauri tree from the ravages of kauri dieback disease has been welcomed by Conservation Minister Maggie Barry.

Sir Stephen Tindall and Julian Robertson will contribute $480,000 over the next three years through their Tindall and Aotearoa Foundations, targeted at protecting kauri.

$100,000 a year will go towards landowner’s efforts to stop livestock spreading the spores which cause the disease to kauri on their land. It will also fund public education and practical efforts such as hygiene stations at track entrances. . .

Calves and carers to get the best nutrition this season:

Calving time means lots of hungry mouths to feed on the farm so SealesWinslow has teamed up with the Dairy Women’s Network and celebrity chef Michael Van de Elzen to ensure both calves and carers get the best nutrition.

Calf rearing workshops, which began on 21 May and run through June and July will help rearers prepare for a successful season. Meanwhile Chef Van de Elzen will add seasoning to the sessions, providing recipe packs for fast, healthy meals to sustain farming families.

“I think my life is tough as a chef but farmers certainly work huge hours as well but often in very trying conditions. I’m excited to be supporting them with some tasty tucker,” said Mike. . .

 


Rural round-up

January 13, 2015

Z plant turns meat waste into diesel – Adrien Taylor:

Z Energy has started construction on a south Auckland plant to convert meat waste into biofuel.

The plant will produce 20 million litres of the fuel every year, but Z says that’s just the beginning of a green transition, if consumers want it.

In a University of Auckland lab, Z is developing what it hopes will be a growing part of the fuel mix it offers customers. The New Zealand company is converting waste fat from the meat industry, a green tallow, into a high-grade mineral diesel substitute – clear in colour.

Z says the biodiesel has a carbon footprint less than 10 percent the size of mineral diesel. . .

 NZ fights Illegal fishing in the Southern Ocean:

Foreign Minister Murray McCully today put illegal fishing vessels operating in the Southern Ocean on notice and vowed to take action against their owners.

“As part of a multi-agency operation, the HMNZS WELLINGTON has intercepted two vessels claiming to be flagged to Equatorial Guinea, fishing illegally in the Southern Ocean,” Mr McCully says.

“Fishing in this area is regulated by the Convention on the Conservation of Antarctic Marine Living Resources and New Zealand conducts regular patrols in the Southern Ocean targeting illegal fishing operations.  . .

Hard to fight rural fires without water tanker – Bill Campbell:

Palmerston volunteer firefighters called to send a water tanker to a scrub fire at the weekend had one problem: they no longer have a tanker.

The tanker was taken out of service last month and might not be replaced before July 1, despite East Otago having one of the driest summers on record. . .

Police, farmer at odds over sheep rustling – Sue O’Dowd:

Police and a Stratford sheep farmer are at odds over the disappearance of stock from a backcountry farm. 

Ewes and lambs missing from Backvale Farms at Tututawa, 27km east of Stratford, have been returned by neighbours who found them among their own flocks, Detective Constable Glen Bosson, of Stratford, said. 

But while police believe that may have solved the missing sheep mystery, Backvale Farms spokesman Brendon Back said a further 247 ewes and their lambs were still missing. 

Between 350 and 400 in-lamb romney ewes disappeared from the farm last year between July 28, when there were 1310, and October 20, when there were only 936. . .

Using technology to grow company’s ‘golden goose’ – Gerald Piddock:

New Zealand knows how to produce large amounts of animal protein cheaply.

We excel at it and Waikato company Dairy SolutioNZ and its chief executive Derek Fairweather are leading the country in exporting this knowledge across the globe.

It was, he said, the biggest opportunity for New Zealand in terms of the knowledge economy.

“What knowledge that we have that is really valuable? That knowledge is how to turn grass into protein. We do that better than anyone in the world.”

Exporting New Zealand’s farming knowledge was a growing industry and while people quickly understood the idea, putting it into practise was difficult because farming was a conservative long-term business. . .

Years of dedication rewarded – Annette Scott:

When Jan Wills and her husband Barrie were married they followed the Wills family tradition of showing cattle at the local A&P shows.

The young couple soon realised an opportunity to breed their own cattle and being beef farmers surrounded by dairy farmers they themselves were a breed out on their own, Wills said. 

“We chose the Hereford because the quiet temperament of the breed suited our intensive farming style. With dairy all around us we were beef farmers in a pocket surrounded by dairy and growing. . . .


More wind generation less power

April 11, 2014

If renewable energy good is more better?

What if more renewable generation results in less power?

Household fridges and freezers will need to be automatically switched off at times when Britain’s electricity demand is high, in order to keep the lights on as Britain becomes more reliant on wind energy, experts say.

The current electricity grid will struggle to cope with the number of wind farms expected to be built by the early 2020s because the power they produce is so intermittent, according to a report from the Royal Academy of Engineering.

A radical overhaul of the way the electricity system is managed – including a “smart grid” that can control household appliances to reduce demand when power supply is inadequate – will be needed, it finds.

Britain will also need to build more power import and export cables to the continent to help manage variable wind power output, and develop storage technologies to keep surplus power for times when there is a shortfall.

The measures will be necessary to avert blackouts under a vast expansion of wind power – unless Britain instead builds an expensive new fleet of reliable power stations to be fired up as backup when the wind doesn’t blow, it found. . .

Most of New Zealand’s renewable energy comes from hydro generation.

That is at risk from low precipitation but it is generally easier to monitor it and manage its consequences than it is to predict and manage shortages of wind.

For all that people say they support renewable generation, I wonder how many would continue to do so if it meant a less reliable supply and higher prices?

 


%d bloggers like this: