New Zealand is experiencing shortage of CO2 in medicine and other industries
2023.01.10 01:22
New Zealand is experiencing shortage of CO2 in medicine and other industries
By Kristina Sobol
Budrigannews.com – Due to a lack of supply following the closure of the country’s only food-grade CO2 production facility, New Zealand is forced to ration supplies of carbon dioxide (CO2), which is used in packaging, hospitals, and the production of soda.
In an email, industrial gas producer BOC stated that rationing is in place and that supplies of CO2 to critical medical, safety, and water customers are being prioritized.
It added, “To manage the CO2 supply situation, we are working collaboratively with suppliers, customers, and other industry stakeholders.”
The closure of a CO2 production facility on the west coast of the North Island is the cause of the rationing. The facility, which is run by Todd Energy, was forced to close while a safety issue at the plant was looked into, according to a statement.
“The plant’s safe operation is our top priority.” Mark Macfarlane, chief executive officer of Todd Energy, stated, “Unfortunately, that means the plant is temporarily closed while we work through engineering solutions.”
Prior to the plant’s closure after the country’s other plant closed following the decommissioning of New Zealand’s sole refinery in April 2022, CO2 supplies were already low. According to Statistics New Zealand data, CO2 imports nearly tripled last year in an effort to close that gap.
According to Dylan Firth, the Brewers Association’s executive director, the industry, which generates approximately NZ$2.8 billion ($1.8 billion) annually, had been forced to ration for some time. According to him, a number of smaller breweries anticipated stopping production if supply issues were not resolved, and some of them had limited C02 stocks.
Steam Brewing’s managing director Steve Kermode stated that the contract craft beer brewing company was experiencing skyrocketing costs for imported CO2 that it was unable to pass on to customers and that it had at times ceased production due to shortages.
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He stated, “This is an absolute nightmare.” In order to reuse the CO2 that is produced during the brewing process, Steam Brewing is making investments in new technology. However, only about 25% of the CO2 the business normally uses will be produced by this.