The Government’s offshore oil and gas exploration ban could force a rethink of Fonterra’s plans to switch some of its sites from coal to gas.
Several of the dairy co-op’s North Island manufacturing sites are coal-fired and planning was underway to convert them to natural gas or low carbon alternatives to coal.
However, in a submission to the Ministry of Business, Innovation and Employment, Fonterra said the Government’s decision not to issue any new offshore oil and gas exploration permits meant those plans may have to be reviewed.
It takes special genius for the Government to come up with a policy that is both damaging to the environment and the economy. Normally a policy has tradeoffs – its is good for one and bad for the other.
But this policy is the Forrest Gump of policies. Damages the environment and the economy!