Environmental ideals go up in smoke

New Zealand's energy supply declined 1 per cent in the year to September but consumption increased 7.7 per cent, Ministry of Economic Development statistics show.

Dependence on fossil fuels increased at a time when New Zealand is attempting to comply with the Kyoto environmental protocols.

The fall in supply was mainly because the Maui field produced 17 per cent less gas, and a 9 per cent reduction in geothermal supply.

This was partially offset by a 25 per cent increase in coal supply, a 9 per cent rise in oil imports, a 9 per cent increase in hydro and a 5 per cent rise in wood bioenergy.

Oil consumption increased by 7 per cent and coal use (including exports) rose by 25 per cent. This was partly offset by a reduction in gas use for electricity generation of about 10 per cent, a 35 per cent reduction in gas use for petrochemical production - mainly methanol.

In the year to March, residential electricity prices rose 4 per cent to 15.5c/kilowatt hour, commercial prices rose 6 per cent to 10.8c/kWh and industrial prices rose 8 per cent to 7.2c/kWh.

The ministry said that total consumer energy use rose 5.4 per cent to 493 petajoules in calendar 2002 - the highest level since 1974. Domestic transport was responsible for 42 per cent of energy consumption.

- NZPA