SMH - Air NZ expects fuel costs to hit profits

Air NZ said crude oil's "unprecedented rise" had also seen a widening of the gap between crude oil and jet fuel, which for the past two years has been about $US15 per barrel. Now it was more than $US25 per barrel. The airline had crude oil hedges in place but they did not protect against the growing differential with jet fuel. It had recently increased ticket prices but if the oil prices were sustained, they would have "a significant impact, requiring continued review of our pricing, network and cost-base". Air NZ also said it was entering compensation talks with Boeing after news that the delivery of its first Boeing 787-9 aircraft has been delayed.

SMH - Engineer calls for more use of LPG

More Australian motorists should be encouraged to convert their cars to run on LPG ahead of a looming fuel supply crunch, leading automotive engineer Laurie Sparke says. Dr Sparke, now retired but formerly Holden's director of innovation, said the potential for significant savings in greenhouse gas emissions also made LPG the best alternative fuel for Australia in the immediate future. "The federal government should firstly encourage consumers to convert to LPG use and secondly encourage the development of new technology to achieve the 13 per cent reduction in greenhouse gas emissions which is available from the use of this fuel," he said in a statement issued by the LPG industry.

Dr Sparke said tightening global oil supplies, increasing demand and falling domestic oil production meant Australia faced a serious supply crunch within the next five years. LPG and Compressed Natural Gas (CNG) were the best alternatives. "Australia has large reserves of LPG and natural gas which are, as yet, under-utilised and we should be taking leadership in the development of gas fuel and vehicle technologies to exploit that supply," Dr Sparke said. "Other fuel alternatives, such as the large-scale production of bio-fuels, will have unintended negative environmental effects. "Ethanol will be limited to use as a low-percentage petrol extender in Australia because of the huge areas of land cultivation required."

Courier Mail - Designer advises Brisbane to go underground for metro rail

THE future of Brisbane's public transport is underground, says one of the world's leading designers proposing a $4 billion 24-hour metropolitan train service for the city. ARUP Global Rail director Colin Stewart told a business forum this week that government and private developers should back his plan for a frequent metro rail network in Brisbane as it was the only way to properly address the city's traffic congestion. "If Brisbane wants to get away from congestion it has to happen," said Mr Stewart, whose company helped design metro systems in Hong Kong, London and Copenhagen. "Most cities are taking time to realise that public transport needs to be pushed up the agenda."

ABC - Oil peak buffets Wall St

The New York oil price is within striking range of $US120 a barrel, with record high prices set on the New York Mercantile Exchange overnight. The key futures contract has been as high as $US119.90. Traders say the rise in the price of crude is being fuelled by a sliding US dollar, unrest in Nigeria, and OPEC's resistance to raising production quotas. Also in the background is the surging economic growth of China and India.

Bega District News - Peak oil problems need facing now

AN audience at a recent meeting in Candelo was advised not to wait for the impacts of Peak Oil to hit Australia, but to plan and act now to cushion its effects. The advice came from Cuban Permaculturist, Roberto Perez who works as an educator for the Foundation For Nature and Humanity, Cubas major environment organisation based in Havana. ...

The Candelo meeting was sponsored by the Sapphire Coast Producers Association and Austcom. SCPA spokesperson and local Permaculturist John Champagne explained that the clear message from Roberto's visit was to grow food locally and to start now.

He said "Peak Oil has not had the same exposure as Climate Change at either the local or national level, yet it's the flip side of the coin as the twin carbon disasters play themselves out on humanity. "Most of our population are in a state of denial that firstly it even exists, and secondly the implications it holds for an affluent nation totally dependent on the non renewable resource of fossil fuels to meet most of their current needs. "SCPA is committed to providing the framework for our region to grow most of our food needs locally.

The Age - Japan's hunger becomes a dire warning for other nation

Japan's acute butter shortage, which has confounded bakeries, restaurants and now families across the country, is the latest unforeseen result of the global agricultural commodities crisis. A sharp increase in the cost of imported cattle feed and a decline in milk imports, both of which are typically provided in large part by Australia, have prevented dairy farmers from keeping pace with demand. While soaring food prices have triggered rioting among the starving millions of the third world, in wealthy Japan they have forced a pampered population to contemplate the shocking possibility of a long-term — perhaps permanent — reduction in the quality and quantity of its food.

SMH - Dearer food unleashes 'silent tsunami'

A "silent tsunami" unleashed by costlier food threatens 100 million people, the United Nations said on Tuesday, but views differed as to how to stop it. Aid bodies said there was enough food to go round but the key was to help the poor afford it, and urged producing nations not to curb exports to stockpile food at home. In London, Prime Minister Gordon Brown said Britain would seek changes to EU biofuels targets if it was shown that planting crops for fuel was driving up food prices - a day after the bloc stood by its plans to boost biofuel use.

SMH - Labor's deal to cut food prices

IN a move to drive down food prices, the Federal Government will make it easier for foreign supermarket chains such as Wal-Mart, Costco and Aldi to set up in Australia and challenge giants Coles and Woolworths. With inflation figures due today expected to show significant upward pressure on food prices, the Herald can reveal the Rudd Government will change investment rules to give foreign buyers of vacant commercial land more time to start developing it.

The Australian - BHP iron, oil output hits record

PRODUCTION of iron ore and oil by BHP Billiton has risen to a record in the third quarter, but output for coal, copper, aluminium and nickel were lower on an annual basis.

SMH - Santos 'on track', despite output drop

Santos Ltd, Australia's third biggest oil and gas producer, has reaffirmed its full year production guidance after posting a six per cent drop in output for the first quarter. Output for the three months to March 31, was 13.7 million barrels of oil equivalent (mmboe), compared to 14.5 million barrels in the previous corresponding quarter. Santos said a halt to production for repairs on the Mutineer-Exeter floating ship off the West Australian coast "significantly impacted" first quarter output.

The Australian - BHP, Exxon to supply gas to Origin

SMH - Origin Energy in deal with Esso/BHP JV

Origin Energy Ltd has entered into a gas supply agreement with the Esso Australia Resources Pty Ltd and BHP Billiton Gippsland Basin joint venture to purchase up to 250 petajoules (PJ) of natural gas over 10 years. Origin has developed its own sources of gas supply in Victoria through the BassGas development south-east of Melbourne. This currently contributes 20 PJ annually to Origin's gas supply arrangements. The Otway Gas Project in south-western Victoria, when fully operational, will contribute an additional 30 PJ per annum.

A Few Things Ill-Considered - Another Week of Global Warming News, April 20, 2008

SMH - Homes 'damaged' with desalination works

Frustrated residents living near the site of Sydney's planned desalination plant are in for at least another week of earth-moving disturbance, the government admits.

SMH - First drought, now 77-year rain record

Sydney's run of rainy days in a row - 11 - is the most in April for 77 years. And commuters have really copped it, with rain falling between 6am and 9am on each of those days. NSW Bureau of Meteorology climate estimation officer Mike De Salis said the rain was getting people down.

SMH - Biodiversity loss will lead to sick world: experts

The world risks wiping out a new generation of antibiotics and cures for diseases if it fails to reverse the extinction of thousands of plant and animal species, experts warned Wednesday.