Ryan Bridge: Energy security will be hot this election

Energy security is shaping up to be the hottest item on this year's election agenda, and with good reason. 

Ask any business who's about to renew an energy contract, any transport business who's battling the price of diesel, or any factory or mill thinking about mass layoffs and shutting up shop. 

In Hawke's Bay, CEOs are organising an energy summit in June. Their business leaders voted energy as their top concern. 

Bombing in the Middle East might be in pause, bar Beirut, but the energy price battle is far from over.

And it’s time for our politicians to put their swords down and agree on a long term energy strategy that addresses the new world we’re living in. 

Post ceasefire, oil is still more than 30% more expensive than it was before the war. Gas is 40% higher. 

There’s a piece in The Economist, well worth a read, that sets out the problem well.

Infrastructure's been damaged and takes time to repair. When the tankers start moving, the insurance premiums will cost an arm and leg. That’s before ships take the risk of sailing in the opposite direction back into the Gulf again while a shaky ceasefire is in play.

We’ve now all learnt that a few drones and terrorists with speed boats is all it takes to choke supply. Oil will find a way, from other regions, or overland by pipes, but all this takes time and costs money.

I had Chlöe Swarbrick and David Seymour in my show yesterday and they both disagreed with each other on what mix of energy solutions we need to keep trucks, factories, and businesses moving.  

But the fact is they both have valid points and all parties should compromise and agree on an energy plan we can all agree on.

Whether that’s LNG, over-building renewables (as Sir Rod Drury argues), more drill baby drill, tanks at Marsden Point, coal for Huntly, or a combination of all of the above, political consensus is the missing ingredient to make ensure NZ Inc can keep the lights on. 

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Episode Transcript

Speaker 1 (00:00):
Energy security is shaping up to be the hottest item
on this year's election agenda. I reckon, and there's a
good reason for that too. Ask any business right now
who is about to renew or trying to renew an
energy contract. Ask any transport business who's battling the price
of diesel, or any factory or mill thinking about considering
mass layoffs as they are in Kai Tai right now

(00:21):
and shutting up shop in Hawk's Bay. The CEOs there
have got together. They are organizing an energy summit in June.
Their business leaders voted energy their number one concern. And
when business says something like this, you listen. Bombing in
the Middle East might be on paus Barbee route, but
the energy price battle is far from one, and it's

(00:42):
time for our politicians, I think, to put their swords
down and just agree Kumbaia on a long term energy
strategy that addresses the new world and the new reality
that we're living in. Post ceasefire. Oil is still more
than thirty percent more expensive than it was before the war,
gas forty percent higher. There's a piece in the Economist
well worth the read that sets out the problem quite well.

(01:04):
The infrastructure's being damaged in the golf takes time to repair.
When the tankers start moving, the insurance premiums will cost
an arm in a leg. That's before ships take the
risk of actually sailing back in the opposite direction back
into the golf again. While this shaky ceasefire is still
in play, we've now all learnt the hard way that
it takes just a few drones and a few terrorists

(01:26):
with some speedboats to choke supply. Not all the supply.
Sure oil will find a way from other regions overland
by pipes, but all this takes time and costs money.
I had Chloe Swarbrick and David Seymour on my show
yesterday and they both disagreed, unsurprisingly with each other over
what mix of energy solutions that we need to keep

(01:48):
the trucks, the factories and the businesses moving. But the
fact is they both had some valid points and all parties,
I think ought to compromise and agree on an energy
plan that we can all well, whether it's l MNG
and the government's under an art about that, whether it's
overbuilding renewables, as Sir Rodery has argued, more drill, baby drill.

(02:10):
Uncle Shane tanks at Marsden Point, coal for Huntley, or
a combination of all of the above. Political consensus is
the missing ingredient to ensure that nz Inc can keep
the bloody lights on. For more from Early Edition with
Ryan Bridge, listen live to News Talk Set B from
five am weekdays, or follow the podcast on iHeartRadio.