The Petroleum Exploration and Production Association says oil companies won't be put off by tougher environmental rules for offshore activity.
The Government has introduced new legislation which would impose stricter environmental regulations on New Zealand's exclusive economic zone.
The PEPA says the legislation brings New Zealand in line with other countries.
Executive officer John Pfahlert says companies that work in the oil and gas industry are used to operating in multi-layered regulatory environments so there won't be any surprises to them in the bill.
But the Green Party says the legislation is too weak and is clearly about facilitating offshore exploration and drilling rather than genuinely focussing on protecting environmental values.
The Government intends to have the law in place in July next year.