New Zealand reopens oil, gas exploration plans

Wellington

New Zealand is reopening petroleum exploration beyond onshore Taranaki, ending a 2018 ban. The move comes after the Crown Minerals Amendment Bill was passed in Parliament, Resources Minister Shane Jones announced Thursday.

The new law supports more investment in government-owned resources. It also introduces a special permit for small-scale, non-commercial gold mining. Updated decommissioning rules now match global standards and allow ministers to hold former permit-holders liable if current operators can't pay for site clean-up.

Jones said natural gas is vital for New Zealand’s energy future. He blamed the earlier ban for scaring away investors and causing gas shortages, which affected economic growth and energy security.

The government has already set aside NZ$200 million (US$118.6 million) over four years to help fund new gas field projects. Most of the new law’s rules take effect immediately, with full rollout by September 2025.

However, the Green Party opposed the bill, saying it will worsen climate change and the cost of living. Climate expert Jen Purdie urged more investment in renewable energy instead of fossil fuels.

Separately, New Zealand launched its first national AI strategy on July 8 to improve productivity and grow the economy. Science and Technology Minister Shane Reti said AI could add NZ$76 billion (US$45.8 billion) to GDP by 2038.

The AI plan includes clear rules, less red tape, and support for innovation. A guide for safe AI use has also been published to build public trust. The government will work with global partners to ensure responsible AI development.