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NZ withdraws from global fossil fuel phase-out alliance

MP-SimonWatts-2023

The government has confirmed New Zealand’s withdrawal from the Beyond Oil and Gas Alliance (BOGA), an international group committed to ending fossil fuel production.

The move follows the repeal of New Zealand’s ban on new offshore oil and gas exploration and comes alongside a $200 million fund announced in the Budget to support petroleum development.

Climate Change and Energy Minister Simon Watts says the decision was formalised on June 21, and all alliance members were notified at that time. New Zealand joined BOGA as an associate member in 2021 under the previous government.

Watts says the decision reflects the need to secure long-term energy reliability for New Zealand, particularly amid warnings of a future gas shortage.

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“I make no apology that my primary focus is to ensure that we can keep the lights on for New Zealanders,” he told media. He says natural gas will act as a transition fuel until more reliable alternatives are available, and that New Zealand still has one of the most renewable electricity systems in the world.

BOGA is co-led by Denmark and Costa Rica, with members including France, Ireland, Portugal, Spain, Sweden, and Pacific nations like Tuvalu and Vanuatu.

The decision to leave has drawn criticism from the Green Party and environmental groups including Greenpeace and WWF NZ, who say it undermines the country’s international reputation and climate commitments.

Watts rejects that view, saying the government remains committed to emissions targets under the Paris Agreement.

While the move has no direct impact on the transport sector, it signals a broader shift in energy policy that could influence fuel supply, pricing, and emissions settings in the years ahead.

A new national energy strategy is currently under development.

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