New Plymouth residents are relieved plans to build a gas import terminal have been shelved, saying they feared for their safety if explosions occurred at Port Taranaki.
Energy companies Contact and Genesis joined forces in 2006 on the $400 million project to import liquified natural gas.
However, Genesis says the companies have decided not to go ahead with it for commercial reasons and are looking at floating gas terminals.
A spokesman says it is likely that New Zealand will need to import natural gas by the end of the next decade when floating gas terminals will be more advanced.
Michael Lawley, of Taranaki Energy Watch, says LNG is very volatile and accidents with the substance overseas have claimed lives.
Craig Williams from Burning Bridges, a residents' group opposed to the terminal, says building it so close to the city was not safe.
