Carbon News
  • Members
    • Login
      Forgot Password?
    • Not a member? Subscribe
    • Forgot Password
      Back to Login
    • Not a member? Subscribe
  • Home
  • New Zealand
    • Politics
    • Energy
    • Agriculture
    • Carbon emissions
    • Transport
    • Forestry
    • Business
  • Markets
    • Analysis
    • NZ carbon price
  • International
    • Australia
    • United States
    • China
    • Europe
    • United Kingdom
    • Canada
    • Asia
    • Pacific
    • Antarctic/Arctic
    • Africa
    • South America
    • United Nations
  • News Direct
    • Media releases
    • Climate calendar
  • About Carbon News
    • Contact us
    • Advertising
    • Subscribe
    • Service
    • Policies

NZ’s government may ask the public to underwrite the risk of fossil fuel exploration – this could be unlawful

19 Dec 2024

 

Resources Minister Shane Jones. Photo: NZFirst Facebook

 

By Nathan Cooper, University of Waikato

After reversing the ban on new offshore oil and gas exploration permits, New Zealand’s coalition government is now considering whether to share the risks of exploration with the fossil fuel industry.

This could mean taxpayers would compensate corporations if exploration is unsuccessful. Resources Minister Shane Jones has stressed that no decision has been made yet, but the government accepts commercial exploration for new gas resources is unlikely without state support.

 

However, subsidising fossil fuel activities seems contrary to New Zealand’s recent international commitment to phase out incentives for the industry. It is also difficult to square with the government’s climate strategy to make clean energy abundant and affordable for everyone, announced last week as part of the second Emissions Reduction Plan for 2026–30.

 

Helping corporations potentially exploit new fossil fuel resources, thereby adding greenhouse gas emissions, may also be contrary to the government’s obligations under international human rights law.

 

International legal obligations

There is clear consensus that greenhouse gases drive global warming and that emissions must be cut to avoid the worst effects of climate change.

 

New Zealand’s government also acknowledges the effects of climate change are already being felt across communities and the economy.

 

Earlier this year, the Ministry of Health Manatū Hauora identified climate change as one of the leading threats to New Zealanders’ health in its Health National Adaptation Plan.

 

In international law, Aotearoa New Zealand also has human rights commitments relevant to decisions around new fossil fuel exploration. New Zealand ratified the International Covenant on Economic, Social and Cultural Rights (ICESCR) in 1978, and since then has been obliged to take steps to progressively realise the rights the covenant contains.

 

These include the right to an adequate standard of living and the right to the highest attainable standard of physical and mental health. Realising these rights requires continuous improvement of living conditions and improvement of “environmental hygiene”.

 

In 2022, a human right to a healthy environment was also adopted by the United Nations General Assembly, and supported by New Zealand.

 

Drafted in 1954, the ICESCR does not mention greenhouse emissions and climate change, or their links to health and living conditions. Despite this, the UN Human Rights Council asserts that states’ obligations under the covenant include the following:

  • refrain from directly engaging in activities that cause environmental harm that interferes with the enjoyment of rights protected by the covenant

  • take measures to safeguard the enjoyment of economic, social and cultural rights against environmental harm

  • ensure environmental sustainability.

It is likely that facilitating or helping new fossil fuel exploration would run contrary to these obligations because it would undermine efforts to cut emissions. It also constitutes a regressive step (contrary to the principle of non-retrogression) in realising fundamental rights to health and healthy living conditions.

 

It may prove politically unpalatable to ask New Zealanders to invest in activities that may erode their human rights.

Representatives from Pacific island states gather outside the International Court of Justice. The court is preparing an advisory opinion on what countries are legally obligated to do to fight climate change. Michel Porro/Getty Images

Clearer state obligations to come

It remains unclear in international law exactly what states are obliged to do in response to climate change. But that situation should soon improve.

 

Hearings are underway at the International Court of Justice as part of preparations for an advisory opinion on two burning questions: what are the obligations of states under international law to protect the climate and environment from greenhouse gas emissions, and what are the legal consequences for states that have caused significant harm to the climate and environment?

 

Expected in late 2025, answers to these questions from the world’s highest court could be important in galvanising more effective state action on climate change. But governments shouldn’t wait for this.

 

The Climate Change Commission’s newly released review of New Zealand’s 2050 emissions target provides a sobering warning.

 

It says the country’s current 2050 target (net zero for long-lived gases and methane emissions from livestock and waste down by 24–47%) is no longer enough because the severity of climate impacts is greater and faster than expected, and other comparable countries are already doing more.

 

Instead, the commission recommends a “net negative” target. This would see the removal of 20 million tonnes more carbon dioxide than New Zealand produces, and more ambitious cuts to methane.

 

The direction of travel should be clear. New Zealand needs greater and faster action to mitigate climate change impacts. On the international front, this should be signalled by a bold and ambitious new emissions reduction pledge under the Paris Agreement, and by more climate finance for Pacific nations.

 

For domestic energy needs, the government should be investing in community-based renewable electricity, not considering enabling speculative exploration for more fossil fuels.

The Conversation


Nathan Cooper, Associate Professor of Law, University of Waikato

 

This article is republished from The Conversation under a Creative Commons license. Read the original article.

print this story


More >
New Zealand
More >

Local govt shake-up risks weakened environmental outcomes – Commissioner

Fri 27 Feb 2026

By Shannon Morris-Williams | The Government’s push to simplify local government is "deeply flawed" and has been launched without a clear understanding of which functions must remain regional, according to the Parliamentary Commissioner for the Environment.

Kiwis overly optimistic about state of environment

Fri 27 Feb 2026

By Shannon Morris-Williams | New research suggests many New Zealanders believe the environment is in better shape than it really is, with public perceptions often out of step with scientific evidence.

Climate Change and Energy Minister Simon Watts with International Energy Agency head Fatih Birol last week

Govt plan to encourage new energy investment won’t cut costs for ordinary Kiwis

Thu 26 Feb 2026

By Liz Kivi | While gentailers and major energy users have welcomed the Government’s plan to leverage public sector demand to drive new energy projects, an expert says it is unlikely to reduce prices for ordinary people.

Gas and energy industry specialist, Andy Knight, has been named as chair of the Gas Security Fund

Gas security fund panel named – but projects still hush-hush

Thu 26 Feb 2026

The Government’s $200m Gas Security Fund has attracted interest from “several” entities, but officials are refusing to disclose who is circling or what types of projects are being put forward, leaving the market to take the programme’s credibility largely on trust.

New Zealand Climate Foundation CEO Izzy Fenwick

Climate 'dream team' launches foundation targeting 100 million tonnes in emissions cuts

Wed 25 Feb 2026

By Shannon Morris-Williams | The New Zealand Climate Foundation, which has the ambitious aim of cutting 100 million tonnes of greenhouse gas emissions by 2035, had its official launch on Monday.

Kaiwera Downs Wind Farm

Mercury ramps up renewable investment with $1b pipeline

Wed 25 Feb 2026

Mercury is accelerating investment in wind, geothermal and hydro assets, reinvesting $270 million — half its half-year earnings — into new and existing renewable generation.

The Avatar moth, which was crowned New Zealand's 'bug of the year' just last week, is Nationally Critical and lives only on the Denniston Plateau

Biodiversity survey challenges coal mine proposal

Wed 25 Feb 2026

An intensive biological survey at Deep Stream and the Denniston Plateau has revealed rare and at-risk species in areas slated for coal mining, with conservationists saying mining the area could spell extinction for the recently crowned 'bug of the year' – the avatar moth.

Hipkins rejects LNG terminal, backs renewables

Tue 24 Feb 2026

By Shannon Morris-Williams | Labour leader Chris Hipkins used his State of the Nation address to warn that worsening extreme weather and rising energy costs show climate change is no longer a distant threat.

Conservation Minister Tama Potaka

Environmental groups boycott Bluegreens forum

Tue 24 Feb 2026

National’s Bluegreens forum in Wellington doubled as a small but telling election-year rehearsal: a bid to reclaim “moderate green” territory while parts of the environmental NGO ecosystem conspicuously stayed away.

Tairāwhiti needs proper Govt support to heal the land – not empty announcements for political optics

Tue 24 Feb 2026

OPINION: The Government’s answer to Tairāwhiti’s severe erosion crisis – that the region apply for modest, contestable funding rounds – while rejecting the region's own land transition business case, leaves our long-term resilience hanging in the balance, writes Manu Caddie.

Carbon News

Subscriptions, Advertising & General

[email protected]

Editorial

[email protected]

We welcome comments, news tips and suggestions - please also use this address to submit all media releases for News Direct).

Useful Links
Home About Carbon News Contact us Advertising Subscribe Service Policies
New Zealand
Politics Energy Agriculture Carbon emissions Transport Forestry Business
International
Australia United States China Europe United Kingdom Canada Asia Pacific Antarctic/Arctic Africa South America United Nations
Home
Markets
Analysis NZ carbon price
News Direct
Media releases Climate calendar

© 2008-2026 Carbon News. All Rights Reserved. • Your IP Address: 216.73.216.172 • User account: Sign In

Please wait...
Audit log: