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Methanex deal a "short term solution" to NZ's energy struggles

Author
Newstalk ZB,
Publish Date
Wed, 14 Aug 2024, 8:48am
Photo / File
Photo / File

Methanex deal a "short term solution" to NZ's energy struggles

Author
Newstalk ZB,
Publish Date
Wed, 14 Aug 2024, 8:48am

It's believed New Zealand's current energy dilemmas highlight the double-edged sword of renewable power. 

Low lake levels, acute gas shortages, and periods of low wind have contributed to a looming energy supply crisis and skyrocketing prices. 

Our biggest gas user, global methanol manufacturer Methanex, will shut down its Kiwi operations until October and redirect its gas to Contact Energy and Genesis Energy.  

Major Electricity Users' Group Chair John Harbord says it's a fix, but just a temporary one. 

He told Mike Hosking new gas is urgently needed no matter if it's imported or explored. 

Harbord says being reliant on renewable energy also means an increased reliance on gas and coal. 

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