Japanese interest in NZ LPG sector

Our LPG sector is small but mighty and there is frequently interest in our New Zealand operations.

This month a delegation from Japan visited Rinnai NZ head office and Liquigas’s Wiri facility to get a better understanding of the New Zealand market and our LPG decarbonisation and efficiency initiatives.

In the gas appliance sector, there is a strong relationship between New Zealand and Japan due to Rinnai’s appliance leadership in both countries. Rinnai NZ Managing Director, Ray Ferner, talked with the delegation about the appliances distributed from Japan in our local market and the potential for blending LPG with renewable DME in the future. DME being a significant liquid gas in the Japanese market.

LPG gas safety was a further interest area for the group. Chief Executive Liquigas, Albert de Geest, showed them around the Wiri bulk storage depot. Originally used as an import terminal, the LPG was brought in by ship and left by truck across the country. Today Wiri is a storage depot. The LPG comes from Taranaki by tanker and is used to supply Auckland, the upper North Island, the Ongas bottle fill located next door and to support North Island security of supply.

The delegation included representatives from across the supply chain. Consultants, LPG supply company, production and sales, and energy media.

Japan is a significant LPG user, and while not a large producer in world terms, produces significantly more than New Zealand does. In 2022, the production volume of LPG in Japan was over three million metric tons. In New Zealand our total consumption was just 193,000 tonnes (and a proportion of the volume was imported from Australia).

Following the New Zealand visit, the delegation visited Australia.