The BusinessNZ Energy Council (BEC) says the Climate Change Commission’s final advice could bring a significant reduction in emissions by 2050, but the way to carbon zero calls for more diversity in New Zealand’s energy sector.

"BEC supports the development of an integrated energy system that can best support the necessary work of emissions reduction. BEC’s energy future scenarios modelling shows fossil fuel consumption reducing from 500PJ today down to 200-300PJ in 2050 (63% down to 22%-33%) and shows fossil fuel demand falling to a small fraction of current levels in sectors such as road transport, residential, commercial and food processing," BEC Executive Director Tina Schirr said.

"But that doesn’t mean we can simply stop using fossil fuels - they will still be needed in some areas. The BEC modelling shows the use of gas in winter will still be needed to support electricity supply, and fossil fuel use will continue to be needed in sectors where there is currently no feasible alternative, notably air travel, some industrial processes and heavy machinery operations.

"We are excited to see our members exploring new fuels and technologies such as biogas and hydrogen as part of the mix in our energy future. We are pleased to see a greater role of these in the Commission final advice and strongly urge the Government to remain open to these options.

"Not only do these options make good use of existing infrastructure, this kind of diversity will help us reduce emissions while also ensuring security of energy supply.

"There are many exciting opportunities to decarbonise the energy sector, but it will require a huge effort and we will need to ensure the right skills are in the sector."

Link to CCC FINAL ADVICE

Link to BEC Energy Scenarios

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