ENERGY DATA FILE JANUARY 1997 RELEASED

The Minister of Energy, Hon Max Bradford, today released the latest edition of the Energy Data File prepared by the Ministry of Commerce.

This twice-yearly publication includes extensive and detailed energy supply and demand data for New Zealand, providing valuable information for the efficient functioning of the energy market. This latest edition includes national energy supply and demand statistics up to September 1996, and detailed electricity industry statistics for the year to March 1996, said Mr Bradford.

Some statistics of note for the 12 months to September 1996 compared with the same period a year earlier include:

electricity generation (including cogeneration) is estimated to have risen by around 1% to 127 PJ (or 35,392 GWh). Hydro generation at around 95 PJ was 1% lower than in 1995 and electricity generation from gas fired stations was correspondingly higher at around 21 PJ (up 23%);

total New Zealand production of crude oil and condensate was up 12% to 76 PJ. This was mainly due to a significant increase in production at the Maui, Kaimiro and Ngatoro fields, and the addition of new production at the Tariki/Ahuroa fields;

overall domestic production of oil products was down 3% to 202 PJ. Production of petrol decreased 6% to 71 PJ, diesel decreased 5% to 69 PJ and fuel oil decreased 3% to 18 PJ. Aviation fuel production was up 3% to 36 PJ;

crude oil imports at 172 PJ were marginally down from 176 PJ;

oil product imports increased 46% to 54 PJ;

total consumption of oil products increased by 3% to 212 PJ. Petrol consumption increased by 1% to 99 PJ, diesel increased 11% to 74 PJ, aviation fuel increased 2% to 16 PJ, while consumption of fuel oil decreased by 24% to 8 PJ;

total gas production increased by 12% to 202 PJ. Gas consumption for electricity generation (including cogeneration) was up 22% to 62 PJ. Total gas used in chemical methanol and synthetic gasoline production was up 12% while gas demand by the ammonia/urea production was 8% lower. Reticulated gas demand was up 4% to 42 PJ; and

coal production was down 2% to 89 PJ. Domestic consumption (excluding electricity generation) decreased 5% to 41 PJ, while exports of high quality bituminous coal increased by 5% to 43 PJ.
Comparing electricity prices internationally with Australia, Canada, Germany, Japan, UK and USA shows that Canada had the lowest electricity prices in the second quarter of 1996, closely followed by New Zealand and Australia. Electricity prices in the United Kingdom, Germany and Japan were much higher than those in New Zealand, with prices in Japan being three to four times New Zealands.

A comparison of retail petrol prices for the same countries shows that regular unleaded petrol remains the cheapest in the USA, followed by Canada and Australia. While regular unleaded petrol prices in New Zealand in 1995 were over two thirds higher than in the USA, they were much less than those in countries such as the United Kingdom, and slightly over half those of Japan and Germany. The price differences arise mainly from differing levels of taxation. However, the information on petrol price trends in New Zealand is not encouraging. The Energy Data File presents an analysis of petrol importer margins. This analysis shows that retail prices in New Zealand (exclusive of taxes) have been increasing by over a cent a year for the last few years relativ e to international prices. This is of concern to the Government, and I have challenged oil companies to compete more vigorously on price. I have also suggested to supermarket chains or indeed any other business interests in the retail sector that they follow overseas trends and directly import petrol for sale to their customers, said the Minister.