New Zealand is likely to remain "addicted to oil," presenting a key challenge for reducing energy sector emissions, according to a Ministry of Economic Development report.

The latest New Zealand Energy Outlook (2009) is designed as a reference for the country’s energy policy debate. Published every few years, it makes 25-year projections of the country’s energy supply, demand, prices and emissions.

A key message from the report was New Zealand’s “addition” to oil, although demand was expected to slow, with growth in diesel use instead.