“A lot of people still have not got their heads around the fact the petroleum and petroleum products will continue powering New Zealand’s economy and that of nearly every other country in the world, for at least the next 20 or 30 years,” he told PetroleumNews.net from Wellington.
He pointed to last month’s Ministry for Economic Development Energy Outlook that said oil, mostly imported, and natural gas, possibly imported, would continue to contribute more than 50% of the country’s primary energy supply to at least 2030.
Natural gas was the best, relatively cheap alternative fuel to crude oil or coal, he said. Gas could be used instead of distillate or coal to fire power stations, and to power motor vehicles, industry, businesses and homes.
But domestic gas supplies were falling, despite the near-shore Taranaki Pohokura gas-condensate field coming onstream.
Improving New Zealand’s plunging self-sufficiency in oil and gas – once over 50% but now less than 18% – would be another priority for PEPANZ under Pfahlert.
He acknowledged the role renewable energy already played in the New Zealand economy – hydroelectricity, geothermal and wind usually provided over 50% of the country’s electricity – but said there was a limit to how much energy renewables could supply at prevailing prices.
“I also believe people do not really understand that some renewable energy sources are economic only at even higher prices than we have now and that they also have their own problems, such as days when there is little wind or sunshine.”
Pfahlert, who is currently chief executive of the Building Industry Federation of New Zealand, said he had had an interest in “subsurface” for decades since graduating in earth sciences from Canterbury University, Christchurch.
His first real contact with the oil and gas industry was when he spent five years with the government’s Department of Conservation administering and dealing with a lot of seismic matters for both petroleum and minerals companies.
He was also executive director of the Minerals Association of New Zealand for five years, sharing offices with PEPANZ’s predecessor, the Petroleum Exploration Association of New Zealand in Wellington during the late 1980s to early 1990s.
Pfahlert, 48, replaces Mike Patrick, who is moving to work as a consultant for the Nelson office of Resource & Environmental Management.
