New report demonstrates tangible emissions reductions by energy sector participants

New Zealand's energy sector continues to demonstrate a remarkable drop in oil and gas emissions, achieved through collaboration and innovative practices, a new report from Energy Resources Aotearoa shows.

The second annual update of the Energy Resources Sector Net Zero Accord, Powering Our Low-emissions Future, shows tangible actions that signatories are taking to measure, understand, and reduce their emissions in a practical and realistic manner.

Energy Resources Aotearoa Chief Executive John Carnegie says:

"New Zealand's energy sector is doing the heavy lifting on emissions reduction. While forging ahead with providing energy for the economy, signatories are making substantial contributions to a low-emissions future."

"Based on publicly available data up to 2022, emissions from production, processing, transport and use have reduced by 27% since 2010.

In that same period, overall emissions from the domestic oil and gas sector in New Zealand have fallen by more than 60%, with emissions from venting and flaring down more than 90%."

Carnegie says this has happened because of significant investments in efficiency and emissions reduction by oil and gas operators.

"For example, over the past 5 years, OMV has reduced its operational emissions by 55%, and it is continuing to investigate how its international expertise in geothermal, carbon capture and storage, solar and wind activities can be used in New Zealand.

"Todd Corporation, another signatory to the Accord, has become the first company in New Zealand to conduct fugitive emissions surveys using Quantitative Optical Gas Imaging. Todd is proactively looking for methane leaks from their production facilities and quickly dealing with any issues they find.

"These successful surveys have attracted interest from other energy companies, and Todd is working with others in the industry to help them measure and understand their processes.

Carnegie says that while there has been extensive progress to date, the sector is standing by to do more under the right regulatory conditions.

"New Zealand is on the brink of establishing a regulatory framework enabling progress of carbon capture (CCUS) projects. This is an exciting moment for the sector, as CCUS can significantly contribute to achieving a net zero emissions economy."

"All political parties have an interest in ensuring New Zealand has a secure, affordable, clean energy system. The Accord signatories contribute significantly to this while reducing emissions and delivering a more affordable, resilient energy future."