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Does he accept the advice from MBIE in "Exploring the Case for LNG" that “The key risks of importing LNG are that it may link the price of domestic gas to LNG, thereby exposing New Zealand to changes in the global market for LNG. These risks can be mitigated by an import model that ensures LNG is only delivered when domestic gas is tight”, if so, does this suggest that New Zealand is less exposed to changes in global LNG prices by only requiring it on an intermittent basis?

Answered Question 8350 (2026)
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Asked by

Scott Willis

List MP · Green Party

Question

  • Does he accept the advice from MBIE in "Exploring the Case for LNG" that “The key risks of importing LNG are that it may link the price of domestic gas to LNG, thereby exposing New Zealand to changes in the global market for LNG. These risks can be mitigated by an import model that ensures LNG is only delivered when domestic gas is tight”, if so, does this suggest that New Zealand is less exposed to changes in global LNG prices by only requiring it on an intermittent basis?

Answered by

Hon Simon Watts

Member for North Shore · National Party · Minister for Energy

Answer

I agree that the best use case for LNG is for dry-year cover.