Falsehoods on drilling 'cost Bay bonanza'

Environmental misinformation over the dangers of oil drilling has cost Hawke's Bay a much-needed bonanza, says Hawke's Bay chamber of commerce chief executive Murray Douglas.

Mr Douglas says oil companies are giving up on the Bay.

"It is because of fear and apprehension as much as practical costs - we didn't even get into the debate," he said. "That is a failure partly on our business community and partly our leadership overall."

Apache Corporation senior adviser of regulatory affairs Alex Ferguson said the company was not abandoning Hawke's Bay but "the investment climate is tenuous in the region".

"I'm not really concerned about the misinformation per se. What I do find disturbing, however, is how this misinformation is creating unnecessary fear and anxiety for residents, which can and has led to unfortunate events," he said.

"It is unfortunate that those individuals responsible for creating this fear and anxiety-ridden environment, do so without accepting any accountability for their actions.

"Regardless, both TAG and Apache continue to believe that there is potential here to discover a world-class resource, Mr Ferguson said.

"All of our operating practices have, and will continue to be, world-class with respect to the protection of cultural, social and environmental values.

"It would be unfortunate for the residents of New Zealand if these benefits from the discovery and operation of a world-class resource were lost due to the actions of the few opposed and the inaction of the many supportive.

"What really seems to be missing is the leadership to guide the debate not only on the environmental topics, but also on the socio-economic and cultural topics."

Apache has been proactive in seeking out dialogue with stakeholders over its joint venture with TAG Oil but has withdrawn from exploring where it has encountered unwilling individual landowners, even though they could legally take more action to gain access.

Greenpeace and East Coast iwi Te Whanau-a-Apanui last week failed in a bid to quash a permit granted to the Brazilian oil company Petrobas for exploration off the East Coast, claiming the Government failed to meet environmental and consultation obligations under the Crown Minerals Act, Treaty of Waitangi obligations and international law.

Greenpeace said there were good grounds for an appeal but the ruling cleared the way for more drilling in the Raukumara Basin, which earlier had met strong protest action.

An area of seabed off the coast of Wairarapa is up for oil-exploration tender.

Mr Douglas said a one-sided environmental debate was also threatening the Ruataniwha water storage project, another project with major economic potential, was at risk of being derailed.

"Already the signs are going up on the road to the dam site saying stop the dam.

"It is a debate that we have to have and it has to be based on good information and science, otherwise we get taken over by the well poisoners."

He said no amount of studies on prosperity or amalgamations would change the fact the Bay needed a major boost.

"We were the richest province in New Zealand in the 1950s, we are certainly not now."