NGC said it had formed the alliance with Plumbing World through its retail LPG subsidiary On gas, with the agreement taking effect from March 31. The alliance will focus on developing the LPG market in Christchurch, but NGC plans to eventually take the scheme throughout New Zealand.
On gas is to close its existing Christchurch LPG showroom, with the assets having been sold to Plumbing World, which will absorb them into its Christchurch outlet by the end of the year.
NGC chief executive Phil James said: "NGC is very encouraged about the prospects for LPG sales in New Zealand, and there are particular opportunities to bring this clean burning and efficient fuel to energy consumers in Christchurch and the rest of the South Island.
"Plumbing World is a successful company with a nationwide presence and close relationships within the trade."
The amount of LPG exported, mainly to small South Pacific countries such as Fiji, is expected to drop markedly with the imminent decline of the Maui field.
However, industry commentators say the amount of LPG used within New Zealand may continue to grow as it is a cleaner fuel than petrol and diesel, and should attract a smaller carbon tax than these fuels when the New Zealand government introduces such a tax from 2007, as part of the Kyoto reform.
