Austrian oil company OMV apply to discharge waste off Otago coast

Tuesday, 16 April 2019

A rig used by OMV off the Taranaki coast.

An Austrian oil giant has applied to discharge a harmful substance off the Otago coast.

The company, OMV, submitted a consent application to the Environmental Protection Agency (EPA) to discharge an unnamed harmful substance within the Great South Basin.

Yellow-eyed penguin off the Otago coast.

The application sought to discharge trace amounts of the substance from the deck drains of a mobile offshore drilling unit. The drilling of exploration and appraisal wells of the permitted area was expected to begin this year, with the discharge consent sought until the end of 2030.

The offshore area is home to protected species including yellow-eyed penguin, albatross, southern right whale and New Zealand fur seal.

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Documents released by the Environmental Protection Authority (EPA) show the discharged 'trace material' may be up to 'one cup' or 250ml in size, and would only occur if the material was spilled on deck.

The final list of harmful substances was not currently available, but was invisible to the naked eye, and its risk to the environment was deemed 'negligible', the company said in its submission.

If the exploration wells were deemed to be not commercially viable no appraisal wells would be drilled, the company said.

The company said it would meet with iwi and the wider fishing sector to discuss any concerns.

OMV noted it had invested more than $2 billion into the New Zealand economy, since 2002, and contributed $1b in taxes and royalties.

An EPA memorandum said the discharge would include harmful substances such as seawater contaminated with oil, drilling fluids and sediment however, 'the exact harmful substances to be used on board are unconfirmed'.

It also saidthe effects from the discharge would be limited to a very small area and were likely to be negligible.

That plan was opposed by the Green Party, with energy and resources spokesman Gareth Hughes urging the Government to strengthen the ban on new permits.

'This Government has banned new offshore drilling permit applications, and now we need to close this loophole to stop further applications for deep sea oil drilling long into the future,' Hughes said.

In April 2018 Prime Minister Jacinda Ardern announced an end to offshore oil exploration.

The public have until 5pm on May 27 to make a submission on the application. Submission forms can be downloaded from www.epa.govt.nz.

Once submissions close a public hearing must be held within 40 working days.