New Zealand has officially exited the Beyond Oil and Gas Alliance (BOGA), with confirmation on 21 June. The move follows the coalition Government’s wider energy policy reset, which includes repealing the 2018 offshore oil and gas exploration ban.
Government Prioritises Energy Security and Sovereignty
Resources Minister Shane Jones made it clear the withdrawal was a matter of when, not if. “I would never have agreed for us to join up anyway,” Jones told Newsroom, describing the alliance as “a women’s knitting group.” He argued BOGA lacked binding power and failed to account for sovereign risks. “All of these international instruments leave New Zealand with enough wriggle room to address sovereign risks, and we do have challenges towards affordability and security of power.”
The Government has positioned its policy direction as one focused on ensuring a stable energy supply and economic resilience. Jones emphasised that agreements such as free trade deals contain flexibility:
Officials Anticipate No Backlash from International Partners
Climate Change Minister Simon Watts stated that the move would not damage New Zealand’s international standing. “Withdrawing from the alliance was the right thing,” he said, noting that “these partners had not previously expressed concern over his Government’s climate policies.”
He also cited advice suggesting the withdrawal was “not going to have any significant impact” on New Zealand’s global perception.
Watts had previously suggested in November that New Zealand could remain in the alliance while lifting the offshore drilling ban. However, the alliance’s co-chair, Lars Aagaard, later said the country’s membership status would need to be re-evaluated.
Legal Experts Flag Risks to International Commitments
The decision has prompted legal and diplomatic scrutiny. Legal advice to the Ministry of Foreign Affairs and Trade (MFAT) warned that repealing the 2018 ban “would likely be inconsistent with the obligations in several of New Zealand’s free trade agreements.”
An independent King’s Counsel also raised concerns that the move could breach the Agreement on Climate Change, Trade and Sustainability, which was described last year by Trade Minister Todd McClay as a “pioneering” agreement.
Responding in Parliament, McClay reaffirmed the Government’s position: “What it says about this Government is we will meet our international obligations. When we enter into them, we take them seriously.”
Greens Challenge Government on Credibility and Commitments
Green Party co-leader Chlöe Swarbrick has described the Government’s exit from the Beyond Oil and Gas Alliance as deceptive and inconsistent with its public statements on renewables.
“They are handing out subsidies to fossil fuel extraction beginning in a decade, cutting local energy efficiency programmes, breaching our international agreements, and now walking away from long-standing coalitions with historically bipartisan support,” she said.
“The withdrawal proves the Government was straight up lying to New Zealanders when it talks a big game about renewables.”
Crown Minerals Amendment Bill Signals Energy Policy Pivot
The Crown Minerals Amendment Bill, which supports the repeal of the exploration ban, has already passed its second reading and is expected to pass into law. Jones reiterated that resuming exploration is central to the Government’s energy approach: “Our energy needs were significant enough to warrant gas exploration.”
New Zealand has stepped back from the Beyond Oil and Gas Alliance, with the Government framing the decision as a practical move to support national energy security and maintain cost-effective supply.