Reduced energy and CO2 emissions for refinery

Refining NZ has signed a commitment to make the Marsden Point refinery more energy efficient, and further reduce its carbon emissions.

Refining NZ Chief Executive Officer Sjoerd Post and the Energy Efficiency and Conservation Authority (EECA) Chief Executive Mike Underhill this week signed an agreement for a three year energy management programme.

Refining NZ operates New Zealand’s only oil refinery, producing petrol, diesel, aviation fuels and other products for the domestic market.  It supplies 40% of the energy needs of New Zealand and 70% of transport fuel needs.  As an energy intensive business, Refining NZ is one of the country’s largest users of fuel and electricity.

“The refinery is committed to making a meaningful contribution to New Zealand’s climate change obligations through reduced energy usage and hence, lower carbon emissions”, Mr Post said. 

“We are always looking for ways to improve our energy profile - whether through major investment, such as the $365m Te Mahi Hou (TMH) project which has reduced our carbon emissions by around 120,000 tonnes a year, or smaller incremental investments.”

“Having completed TMH, the door is open for micro energy projects - all part of our strategy of pursuing small, quick pay-back investments that lift our energy profile, grow revenue while improving our environmental footprint.”

Mr Post believes there is great potential for further energy savings from optimising refinery pumps, fans and process heating systems.

“Exactly how much will be determined as we work with EECA, but we expect to save at least 10 GWh a year - the equivalent energy use of 1,100 households and 2,300 tonnes of CO2 per year. Having EECA’s expertise in electricity and energy management on board is a real bonus for our energy team.”

Mr Underhill said the business is one of the country’s largest users of electricity and process heat (steam, hot water and direct heat systems).

Process heat accounts for 27% of New Zealand’s total energy use and contributes to 22% of total energy-related emissions.

“Refining NZ will save money, improve productivity while reducing carbon emissions, this is a win for the company and it’s good for New Zealand,” Mr Underhill said.

“Every step to reduce emissions helps towards meeting New Zealand’s target of reducing emissions to 30 per cent below 2005 levels by 2030.”

Media enquiries:

Maggie Tait, Senior Communications Advisor, EECA

Phone: 04 470 2212 or 027 204 7439

Email: maggie.tait@eeca.govt.nz