Simon Bridges on Oil and Gas Announcement from New Plymouth

National leader Simon Bridges says the Government's decision to end oil and gas exploration is "a wrecking ball through the regional economy".

On Thursday, the Government announced an end to offshore oil exploration, with no new onshore permits outside Taranaki.

There were 31 oil and gas exploration permits currently active, 22 of which were offshore. And there are 26 with petroleum mining permits, which meant they could produce oil and gas.

The permits cover an area of 100,000 square kilometres. The last of the permits end in 2030, but if a discovery is made, this could be extended for appraisal and the operator may then seek a mining permit to produce, meaning production could continue for decades. All existing permits will be protected under the Government's plans.

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Prime Minister Jacinda Ardern said this was a "responsible step", which provided certainty for businesses and communities that relied on fossil fuels.

"We're striking the right balance for New Zealand - we're protecting existing industry, and protecting future generations from climate change," she said.

DAVID UNWIN/STUFF National's Simon Bridges says the planned end of oil and gas exploration is "a wrecking ball through the regional economy".

However, National said the Government had not been consultation with industry, and while there had been signals the Government would be moving away from fossil fuels, the abrupt announcement had "blindsided" many.

Bridges said if National won the 2020 election it would reverse the Government's decision to end oil and gas exploration.

"If we are the Government in two years we will change it back," Bridges said.

The transition, which could happen over the coming 30 years, was too fast, and the Government had not outlined a clear transition plan, which had "sent a chill down the spine of New Zealand business".

KEVIN STENT/STUFF Prime Minister Jacinda Ardern says the end to oil exploration is for future generations.

Bridges said the plan would have "perverse effects" on the economy and the environment.

"It's a wrecking ball for the regional economy."

As fuel prices rose, New Zealand could end up importing coal, which would add to emissions.

Bridges said Taranaki had lost its "most significant sector", and in exchange got "a refurbished church, and one or two rinky dinky tourist operations".

KEVIN STENT/STUFF Regional Economic Development Minister Shane Jones says time will tell whether he gets "hammered" by the regions.

It was a "sad joke" for the region, he said, adding that NZ First, which claimed to be the champion of the regions, should "hang their heads in shame".

During Tuesday morning's press conference, Regional Development Minister Shane Jones said the Government's ending of oil and gas exploration was the "only scenario" and NZ First voters would have to accept that.

He quite visibly struggled to hide the fact NZ First was having to swallow a few dead rats in accepting the policy - one the party's pro-industry and region-residing voters wouldn't like.

Jones conceded "the reality is we're one of three" at the Cabinet table.

National's energy and resources spokesman Jonathan Young said he predicted there would be no new exploration in Taranaki in three years' time unless there was a National government.

Meanwhile, New Plymouth mayor Neil Holdom called the decision a "kick in the guts" for the Taranaki economy.

The industry provided directly and indirectly up to 7000 jobs in the region.

"It was a kick in the guts for the long term future of the Taranaki economy and urgent work was needed on a plan to maintain Taranaki's position as the provincial powerhouse of New Zealand's economy," he said.

KEVIN STENT/STUFF It appeared to all get too much for Regional Economic Development Minister Shane Jones while Prime Minister Jacinda Ardern announced the end of new permits for offshore oil and gas exploration.

Bridges had made a point of talking about National's future environmental direction, and saying he would be open to working with the Green Party in the future - something the Greens have said was unlikely to happen.

However, when he was asked about his plans for the environment on Thursday, he was not able to point to any policies, or general policy areas.

Bridges said he would be discussing his vision for the future of the environment at a blue-greens conference later this month, and said his front bench was considering environmental policies at the moment.

ANDY JACKSON/STUFF National's Jonathan Young says he expects Thursday's announcement to put put an end to oil exploration long before the permits expired.

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