Next fuel price rise blamed on National’s policy

Press, 12 March 1985, Page 8

Next fuel price rise blamed on National’s policy

PA Wellington The Minister of Energy, Mr Tizard, has denied that a petrol price rise later this year would be the result of last year’s devaluation. Answering a claim by the Opposition energy spokesman, Mr Tony Friedlander, Mr Tizard said a petrol price rise this year was inevitable, but it was the cost of financing the Marsden Point refinery expansion and not the devaluation that would cause it. Mr Friedlander said on Friday that devaluation had pushed interest charges on offshore loans for the refinery expansion at Marsden Point to about 13c a litre. The last price rise had

recovered only 8c a litre, he said. Mr Tizard said the previous National Government was to blame for the present situation with Marsden Point costs. “The National Government, in drawing up the agreement for the refinery expansion with the oil companies and the international bankers, set down the date on which the first part of the loan had to be repaid," he said. “As the Opposition’s energy spokesman, Mr Friedlander must know what his Government did and one is left wondering about his. motives in making his latest statement.”