Global energy transition report a timely reminder for policymakers - Energy Resources Aotearoa

Energy Resources Aotearoa has welcomed the release of bp’s Energy Outlook 2023, saying it provides equal measures of optimism and caution for policymakers.

"According to bp’s Energy Outlook 2023, the global energy system will play an important part in limiting global warming to 1.5 degrees Celsius above pre-industrial levels by the year 2050.

"But the reality is the global energy transition cannot happen overnight. The report shows that to close the gap between energy supply and demand we will need historically high investment in renewable and low-emissions technologies, as well as ongoing investment in oil and natural gas over the next 30 years," says Energy Resources Aotearoa Chief Executive John Carnegie.

Over the past year there has been widespread social and economic disruption from the loss of just a fraction of the world’s fossil fuels. This has led to more countries looking to their domestic energy resources to shore up their energy security.

"We can expect to be buffeted along the way by further unforeseen price and supply shocks, such as the Ukraine War and large-scale weather events.

"Developing more of New Zealand’s domestic natural gas would increase our energy security and keep energy more affordable. It would also have the added bonus of displacing more highly emitting energy sources such as imported coal."

Carnegie also welcomes the Energy Outlook 2023 finding that a diverse ‘menu’ of solutions will work together to deliver a low-emissions energy future.

"bp’s Energy Outlook 2023 adds weight to our calls for policy settings that allow exploration of all opportunities - including energy efficiency; modern biomass, biomethane and biofuels; carbon capture, utilisation, and storage; and low-emissions hydrogen.

"This report is a timely reminder for our policymakers: we can’t afford to pick favourites. All options need to be on the table as we embark on this global challenge, and New Zealand is no exception."