7. Energy and Resources—Offshore Oil and Gas ExplorationJONATHAN YOUNG (National—New Plymouth) to the Minister of Energy and ResourcesEnergy and Resources—Offshore Oil and Gas Exploration7. JONATHAN YOUNG (National—New Plymouth) to the Minister of Energy and Resources: What advice if any did she receive in respect of the obligation to act in accordance with the Minerals Programme for Petroleum regarding the Government's decision to offer no new offshore permits?Hon Dr MEGAN WOODS (Minister of Energy and Resources): As the member is aware I have received a range of advice on the Government's announcement that no new offshore permits would be issued. This included advice on my obligations under the Crown Minerals Act and therefore the minerals programme for petroleum. Of course as the member will also be aware there was no statutory decision associated with that announcement. I also note that as signalled at the time of the announcement policy development work has been proceeding on how to give effect to that decision and this will be released along with further advice in due course.Jonathan Young: Does she consider that the ban on offshore permits is a significant change to the regime for petroleum exploration given the Minerals Programme for Petroleum expressly enables offshore permitting?Hon Dr MEGAN WOODS: What I would like to remind the member is that we currently are under way in the process for Block Offer 2018. What the Government also announced on 12 April when we made the announcement is that we intended to change the way in which we applied that in the future. We are currently undertaking the policy work. We have signalled there is likely legislative change for any further block offer announcements. That of course will also alter the petroleum programme as the instrument that sits under that piece of legislation.Jonathan Young: Does she therefore accept that the manner of the decision at the time was potentially illegal and has badly affected business and investor confidence in New Zealand?Hon Dr MEGAN WOODS: To the second part of that question I'd say the only person whose confidence has been jolted is that member and his party. What we should look at actually is the decisions and the confidence that the industry are showing. I'd look to Todd Energy investing $100 million in a new gas peaker since the announcement was made. I point to Methanex signing a new gas contract through to 2029. I point to OMV's decision to purchase Shell's remaining assets in New Zealand. I point to Tamarind securing a state-of-the-art drilling rig for its upcoming drilling in the Tūī field and I also remind the member that there is 100000 square kilometres off the coast of New Zealand that still has exploration permits that this Government will honour. In regard to the first part of that member's question of whether I consider that the process that we followed did not follow the Act I point him to the answer I gave in my primary: that no statutory decision was made in regard to our announcement. We announced Block Offer 2018 and that process is proceeding.Rt Hon Winston Peters: Given that precise answer does the member think that she's answering the questions with sufficient clarity seeing as the questions coming from that member over there are the same every darn day he raises them?Hon Dr MEGAN WOODS: I consider repetition to be a fine form of learning.Jonathan Young: Is one purpose of the Minerals Programme for Petroleum process to reduce the sovereign risk that … [a] government may unexpectedly change significant aspects of its policy and investment regime and the legal rights applying to investors to the detriment of investors."?Hon Dr MEGAN WOODS: A critical part of managing sovereign risk is giving clarity of policy. What this Government had the courage to do was give a very long-term signal on the direction we were travelling. We are talking about policies that will take 30 40 possibly 50 years to roll out. This is a Government that has the courage to look beyond the three-year political cycle in terms of sovereign risk. I again point the member to the answer I gave in a previous answer—I'll go through the list: Todd Energy investing $100 million—SPEAKER: Order! [Interruption] Order! That is tedious repetition."