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Who, if anyone, ultimately bears the financial risk if LNG infrastructure is underutilised?

Answered Question 4006 (2026)
Question published
Reply lodged

Asked by

Megan Woods

Member for Wigram · Labour Party

Question

  • Who, if anyone, ultimately bears the financial risk if LNG infrastructure is underutilised?

Answered by

Hon Simon Watts

Member for North Shore · National Party · Minister for Energy

Answer

If the facility is not utilised in a particular year, New Zealanders will continue to receive benefits that far outweigh the costs. Just by having an LNG facility, providing certainty of fuel availability for generation, New Zealanders will enjoy the benefits of reduced risk in electricity pricing.