New Zealand government under fire for oil subsidyStaff writer ▼ | December 1, 2015
The New Zealand government was accused of double standards for calling for an end to fossil fuel subsidies while offering tax breaks for oil exploration.
Ecology Opposition lined up to criticize John Key
The communique says that eliminating fossil fuel subsidies would make a significant contribution to cutting global greenhouse gas emissions and calls for transparency around subsidies.
"By keeping prices artificially low, fossil-fuel subsidies encourage wasteful consumption, disadvantage renewable energy, and depress investment in energy efficiency," it says.
However, the opposition Green Party said New Zealand risked being seen a "two-faced" while the government gave "massive tax breaks for oil exploration."
Key's government had subsidized the fossil fuel industry to the tune of 46 million NZ dollars ($30.09 million) annually in the form of tax deductions for petroleum-mining expenditures, Green Party energy spokesperson Gareth Hughes said in a statement. ■