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Auditor-General urged to launch inquiry into plans to build LNG terminal

There are clear questions about whether it the terminal is worth the money, says the group which includes Consumer NZ, Lawyers for Climate Action and the Sustainable Business Network.

Consumer and climate groups have requested that the Auditor-General launch an inquiry into the government's plans to construct an LNG import terminal in Taranaki. The signatories, including Consumer NZ, Lawyers for Climate Action, and the Sustainable Business Network, argue that the process is being rushed to meet an artificial deadline, and there are concerns about the value for money and the adequacy of consultation with the local community.

The government confirmed in June that it will proceed with the project, citing the need for an alternative backup power source while more renewable energy is developed. However, modelling by the Ministry for Business, Innovation, and Employment (MBIE) concluded that there is a low need for the facility, and the Infrastructure Commission raised similar concerns in advice to MBIE.

The latest letter states that it is now necessary for the Auditor-General's office to begin an inquiry, as the urgency of the decision-making and procurement process is not warranted, value for money has not been demonstrated, and the local community has not been adequately consulted.

Written by urgent.news from RNZ Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at rnz.co.nz →

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