Oil and gas law gets green light

Mixed reactions greeted the passing of the Crown Minerals (Petroleum) Amendment Bill in Parliament last night.

The bill will have a major impact on the future of Taranaki’s oil and gas industry and thousands of workers in the region. Green Party leader James Shaw said the legislation was an ‘‘essential first step in winding down offshore exploration for new sources of fossil fuels.’’

However, the oil and gas industry said the new law created major uncertainty.

‘‘Workers and communities have once again been ignored with the Government rushing through a law change ending new offshore oil and gas exploration permits, Petroleum Exploration and Production Association of New Zealand chief executive Cameron Madgwick said. The decision would cost the Crown billions of dollars and likely increase emissions and electricity costs, he said.

‘‘Turning off the tap when we have nothing concrete to replace it with is dangerous and irresponsible.’’

The bill was passed by 63 votes to 55.