Record petrol prices: government must oil proof NSW

Media Release, Thursday, 22 May 2008

Greens MP Lee Rhiannon says record petrol prices at the pump demand urgent action from the Iemma government to oil proof NSW and mitigatethe pressing problem of the demand for the world's oil outstripping supply.

Lee Rhiannon has a bill before parliament calling on the government to set up a Peak Oil Taskforce.

"Premier Iemma must knuckle down and start planning to oil proof NSW, or the community will face rocketing petrol prices, poor public transport and high food prices.

"Peak oil is like climate change – it requires urgent action now.

"The only way to deal with rising petrol prices is to reduce demand by getting people out of their petrol guzzlers and into fuel-efficient cars and public transport and to shift the bulk of freight by rail.

"The Greens are calling for an immediate moratorium on oil dependent infrastructure like new motorways and a heavy investment in public transport.

"The Iemma government must start planning for fuel rationing and the establishment of fuel reserves marked for priority users such as emergency services and hospitals.  

"Reducing petrol taxes is a bankrupt, short term solution. Federally Labor should pump budget surplus monies into developing public transport and fuel-efficient vehicle manufacturing, not tax cuts.

"A plan is also needed to tackle the impact of the oil shortage on the agriculture and transport sectors, both massive users of petroleum products.

"Expanding public light and heavy rail, bus and ferry services in NSW cities and regional areas will play a major role in the response to peak oil.

"Unless public transport grows, our car dependent suburbia risks being boarded up and abandoned.

"The days of cheap energy are over and the 'easy oil' is gone. Leading analysts are predicting $200 a barrel within six months to two years.

"Oil prices are now more than 1,000 per cent higher than a decade ago. 10 years ago the price was between $11 and $17 a barrel.

"Early intervention is the best recipe for avoiding social dislocation. NSW must follow other governments, from Brisbane to San Francisco, and start planning now," Ms Rhiannon said.