Fitzsimons Jeanette: Questions for Oral Answer — Questions to Ministers 
Fitzsimons Jeanette: Questions for Oral Answer — Questions to Ministers 
[Volume:623;Page:18374] 
7.  
JEANETTE FITZSIMONS (Co-Leader—Green) 
 to the  
Minister for Economic Development 
: When he said in his press release on 4 February that Solid Energy was chosen to host the New Zealand pavilion at the Aichi Expo 2005 in Japan because it is “making coal clean” and that it is “meeting objectives to be environmentally sustainable” what exactly did he mean? 
Mr SPEAKER 
: I have been advised by the Minister that his first answer will be a little longer than usual. 
Hon JIM ANDERTON (Minister for Economic Development) 
: 
 The quote in the question from my press release on 4 February is incorrect and I will seek leave of the House to table the release. I said: “New Zealand’s exporter of the year Solid Energy has faced up to one of the biggest challenges there is—making clean coal. That’s why they have been chosen to host the New Zealand pavilion at the Aichi Expo 2005 in Japan.” Solid Energy— 
Rodney Hide 
: I raise a point of order Mr Speaker. I have no particular interest in this question to be truthful but we go through a process to have our questions accepted through the Clerk—they have to be authenticated. Jeanette Fitzsimons has asked the question in good faith and has gone through the process. The Minister got up and said that he had said no such thing. He then said what he did say which was exactly what the question stated. In doing so he has impugned the questioner and certainly has impugned the Clerk of the House. 
Mr SPEAKER 
: I did not think he did either. I thought he was expressing his point of view which he is entitled to do. 
Hon JIM ANDERTON 
: Solid Energy is doing the following work to make coal clean and to develop clean fuel alternatives. With Genesis Energy and the Institute of Geological and Nuclear Sciences it has committed $2 million to develop viable methods to capture and store carbon dioxide produced from burning fossil fuels. 
It is investing in other coal-based energy sources including methane and in ground gasification and the production of hydrogen fuel cells using coal; expanding its biomass business—which includes clean-burning wood pellets made of untreated pine wood and sawdust—and gradually withdrawing the supply of coal for the home heating market as Solid Energy believes that it creates too much pollution. 
Jeanette Fitzsimons 
: Has the Minister seen the recent report from the UK the US and Australia that states that if global average temperatures rise only one more degree—expected to occur in around 10 years—it will be too late to stop worldwide agriculture failure famine drought and disease; if he has seen that report how can he possibly advocate making coal which is the worst source of greenhouse gases the centre of our marketing strategy to the rest of the world? 
Hon JIM ANDERTON 
: Yes I have seen that and several other similar reports. That is why Solid Energy is taking seriously the work it is doing with other institutions and agencies both in New Zealand and overseas to move towards more environmentally sustainable production of an important energy fuel of which New Zealand has 1000 years of supply. 
Hon Matt Robson 
: Is the Government committed to the Kyoto Protocol to reduce carbon emissions and is there any economic development work—[ 
Interruption 
]—occurring in this area? 
Mr SPEAKER 
: There is a member who was just about asked to leave. He should know that on this occasion because his interjection had the tiniest fraction of wit I am allowing him to stay. But he should not take it for granted in future. 
Hon JIM ANDERTON 
: Work is being done to substantially reduce the carbon dioxide produced per megawatt hour by increasing combustion efficiency. Ultimately technology will be able to capture and store carbon dioxide thereby directly reducing greenhouse gas emissions. Solid Energy Genesis Energy and the Institute of Geological and Nuclear Sciences are currently working on a project to achieve this with our trading partners. 
Peter Brown 
: Is the Minister aware that only between 5 and 6 percent of New Zealand’s electricity is generated from coal and that in many larger countries—including the three countries that Jeanette Fitzsimons just mentioned—over 50 percent of electricity is generated from coal; if so will he tell the House categorically whether he supports greater use of coal in generating electricity—yes or no? 
Hon JIM ANDERTON 
: I am aware of the very small portion of the world’s coal energy reserves that New Zealand both uses and produces. However it is an important source of potential energy supply and as technology improves I am confident that the organisation that Solid Energy represents which is now practising state-of-the-art methodology in this area and moving towards new productive techniques is capable of making a greater 
contribution to New Zealand’s energy production and to a cleaner world environment than it has hitherto. 
Hon Mark Gosche 
: Why does the Government believe that having a New Zealand pavilion at the Aichi Expo 2005 is important? 
Hon JIM ANDERTON 
: In Solid Energy’s case of course Japan is its most important market. Of the $200 million in value that Solid Energy exports $180 million goes to Japan. Secondly only 160 New Zealand companies out of a total of 300000 earn more than 80 percent of our entire export earnings. Being at the Japan expo is part of presenting New Zealand to the world and improving that export base. 
Jeanette Fitzsimons 
: Is the Minister aware that Solid Energy’s own chief executive has said that even though research has been going on for many years there is no clean-coal technology that will be available within 10 years that can in any way reduce let alone eliminate the climate-changing emissions from burning coal; if not why is he not aware of this given that the Kyoto Protocol which his Government has signed comes into force next week and binds us to targets? 
Hon JIM ANDERTON 
: Yes I am aware of that and I am aware of many other things that the chief executive of Solid Energy has said. I have a whole series of statements recording the chief executive of Solid Energy as committing Solid Energy to reducing greenhouse gases and to being part of the solutions to the future not part of the problems. 
Sue Bradford 
: Has he personally seen the devastation at the Stockton mine owned by Solid Energy and the water-monitoring reports that show it discharges high levels of toxic heavy metals acid and sediments into the Ngakawau River; if so when does he expect the company to put the best mining practice methods he describes into practice? 
Hon JIM ANDERTON 
: No one denies—neither the Minister responsible for Solid Energy nor anyone else who knows about the mining systems in the past—that there have been many mistakes made. But one has to say with all due respect that Solid Energy is addressing many of those problems and the rehabilitation of old mining areas and new technology to reduce some of the problems that we have seen in the past are all at the front of the mind and on the agenda of Solid Energy. 
Jeanette Fitzsimons 
: Is the Minister aware that New Zealand’s biggest coal-fired power station at Huntly still has no measures in place to remove sulphur dioxide oxides of nitrogen and toxic trace elements such as mercury that the proposed Marsden B coal-fired power plant also proposes only minimal controls with old technology and that in the United States there have been many spectacular failures of so-called clean coal; if so why is he promoting coal rather than New Zealand successes with wind power and other sustainable technologies? 
Mr SPEAKER 
: That question was too long. I will allow it but there can be only a brief reply. 
Hon JIM ANDERTON 
: Because New Zealand needs all the potential and sustainable energy sources that it can possibly have if it is to have a forward-looking economic future. We need balance in all of these things. My view and the view of the Government is that Solid Energy has a balanced view of its future development. 
Jeanette Fitzsimons 
: Did the Minister discuss the choice of Solid Energy as the host for the pavilion at the Aichi expo with the ministerial group on climate change; if so what response did it have to the proposal? 
Hon JIM ANDERTON 
: All Ministers in Cabinet were involved in the decision about the Aichi expo and who was going to be a foundation supporter which Solid Energy is. On this side of the House there is extreme pride in the way Solid Energy has developed its business. It is contributing over $200 million to the export earnings of New Zealand and is conscious of its environmental responsibilities. We are proud of it and I suggest that other members start to be proud of it as well. 
Gordon Copeland 
: Is the Minister aware that potentially there is a huge payback for New Zealand from making coal clean and I refer to the huge deposits of lignite in Southland and the possibility that they could become the long-term salvation of New Zealand’s energy crisis? 
Hon JIM ANDERTON 
: Yes. 
Jeanette Fitzsimons 
: Will the Minister replace Solid Energy as the face of New Zealand industry at Aichi with a more appropriate host for the New Zealand pavilion at least until coal is actually clean so that we are showcased to the world as a country with a green future rather than a brown one? 
Hon JIM ANDERTON 
: These decisions are collective Cabinet decisions. I do not resile from it. The answer is no.