Shane Jones: Labour destroyed the entire energy ecosystem by cancelling the oil and gas sector

Added: 2026-05-15

[00:00:00]Does this show New Zealand needed to transition away from gas or shore up more gas?

[00:00:05]>> Yeah. Well, the facts are sobering and it shows that the gas availability is declining in a precipitous way. So, obviously we need to um squeeze as much gas out of our existing known resources and yeah accelerate the transition.

[00:00:25]>> How bad is it really? Like can you put it into context? Well, I don't think anyone anticipated that the drop would be as precipitous as it has been. And it um it's a reminder that when Justinda Adurn cancelled the oil and gas industry and chilled the investment, we've ended up with the uh perilous situation that we've got a very short period of time to um transition.

[00:00:54]>> Was there any Was there any gas that actually came offline? Was that pardon?

[00:00:57]Was the free the oil and gas actually cancel any gas coming online?

[00:01:00]>> Yes, there were there were a host of people that were about to spend hundreds of millions of dollars and they canled all of their investments because of Justinda's um ban decision. They felt that the gas and oil industry had been cancelled in in uh New Zealand. So, they chose to take their money elsewhere.

[00:01:22]>> You're a minister of time. The oil and gas industry have not been cancelled in New Zealand but cancelled new exploation payments.

[00:01:28]>> Yeah. So I repeat again it is my view that is the worst none other that's the worst decision captain's call. I had no idea that Justinda was going to do that and I'm offered penance since that fateful day where I stood and acquiesced with that woeful decision that she made.

[00:01:43]>> So are you taking no responsibility for that decision?

[00:01:46]>> Oh no I can't walk away from it. I was on the stage with my Kabuki faces, but that was a captain's call made by Justinda and she destro destroyed along with Megan Woods the entire energy ecosystem by cancing the oil and gas sector.

[00:02:00]>> How involved are you in the cost cutting measures? You associate financial role because you some >> Yeah. Well, obviously we I mean we we support um the senior minister and uh we know we're building and working towards a fiscal consolidation set of outcomes.

[00:02:16]We've got to be measured. But um I don't want to say anything against the senior minister. She's our leader on fiscal policy and we support her.

[00:02:23]>> You happy that 5.7 bill for capital that 5.7 billion for capital expenditure but much larger.

[00:02:29]>> Yeah. I mean obviously yeah we want to continue um enhancing the capital infrastructure of the company sorry of the firms in New Zealand whether they are delivering on hospitals whatever but we're in an envelope. We can't do much about that.

[00:02:46]>> Umployment. Pardon?

[00:02:47]>> Will it help them with unemployment?

[00:02:48]>> I think it will, but it depends on how quickly things are permitted, how often we can uh deliver in a short period of time. Um, look, I I don't think people should get petty about this. We are operating in straightened circumstances and our capacity to borrow has been compromised because Justinda spent all the money.

[00:03:07]>> New Zealand. Sorry. Oh, um on in New Zealand, they their market update is looking at an additional $240 million jet fuel uh price tag. Do you think that this is going to affect their connections to the regions?

[00:03:25]>> Yeah. Well, inevitably they're going to have to uh trim their sales. I'll leave operational decisions to them, but we'll take a dim view. If regions are disconnected severely, uh we as a government are taking advice from our officials as to what the options are in terms of building a buffer for aviation fuel. Um we haven't received that final advice yet. Uh there's no guarantee that we'll uh boost that buffer, but at least we'll have quality advice to act upon. Yesterday, some of the miners that I was speaking to were hoping to engage with the fast track for their crit critical minerals projects, but they're worried that it's going to be pulled back next year, and so they're rushing to get stuff over the deadline. How can you reassure them?

[00:04:09]>> Well, I can't uh overwhelm what the democratic outcomes might be of the election. Uh I think there are some further refinements that we can make to the past, but to do that, let's be honest, we have to win the election. All I would say to the miners is get your applications in ASAP. I don't think it's fair that if they're in the process, they should retrospectively be cancelled. Um I would also say that they should have um handsome expectations that we will be back as a government.

[00:04:42]>> And I mean it just sounds like to me that you're encouraging them to rush through an application just to get in over a deadline. Is that good due process? Well, look, providing they're not breaking the law, I feel that they should make um most of the opportunity.

[00:04:57]I don't feel that I'm being reckless.

[00:05:00]But if the law enables them to make an application and they have the ability to operate within the law, bang that application in right now. It may sound as if I'm being a tad adventurous, but I'm telling them to make the most of the opportunity while they have a champion still in power.

[00:05:18]>> Minister, would you consider ever consider a bailout for New Zealand if it gets really bad?

[00:05:23]>> Oh, no. Those matters can only be um directed to local