By Jo Moir of RNZ
The country will not be moving up an alert level when ministers announce more details of the national fuel plan at Parliament on Friday.
Finance Minister Nicola Willis has assured New Zealanders in her answers to questions in the House on Thursday that “we will not be changing the fuel response overnight”.
“Tomorrow, we will also provide more information about the criteria we will use to assess when a change in the response phase is required,” Willis said.
“This would include changes like the amount of fuel in the country,” she said.
Willis also told MPs in the House that the Government’s goal was to “avoid ever getting to response phase three or four”.
“These are envisaged in the national fuel plan as the point at which prioritisation of fuel would be required,” she said.
“Our goal is to be doing enough to source the supply of fuel internationally that that does not become necessary, and by taking sufficient actions in response phases one and two, that we wouldn’t reach phase three and four.”
Willis also doesn’t expect the Government would need to be “skipping through the response phases” of the alert level framework.
Petrol, diesel and jet fuel would be able to be treated at different alert levels under the framework.
On how much warning there would be for alert level changes, Willis said “we are determined to ensure people aren’t in a situation where things change suddenly overnight in ways that aren’t expected”.
“Instead, we are intending to have a framework in which we are transparent about the assessment criteria, where we are clear with New Zealanders when an assessment is taking place, and then we announce the decision of what that assessment is.”
Companies importing fuel into the country have legislated minimum stockholding obligations (MSOs) that require them to have at least 21 days’ worth of diesel at all times.
“What that means is they face fines of millions of dollars if they breach that requirement. That is intended to provide safety and a buffer and we would expect to be notified if there’s any risks of those MSOs being breached, and we haven’t had such notification,” Willis said.
Associate Energy Minister Shane Jones, who will front Friday’s announcement with Willis, says there’s been no cause for the Government to think there isn’t enough fuel on the water headed to New Zealand shores.
He said it’s no great surprise that South Korea, where New Zealand gets 51% of its refined fuel from, is discussing whether to keep fuel in-country rather than export it.
“South Korea is a bastion of protectionism and I’m not surprised they’re looking after themselves,” Jones told media on Thursday.
He sought to reassure anyone who was feeling anxious about the current fuel crisis. “Yes, people will be looking to moderate their usage, as is my own whānau, but I don’t want anyone taking from any discussion or announcement that it’s a time for alarmism, that’s not accurate.”
On South Korea, Act leader David Seymour said the Government was “very carefully” watching reports that it was considering redirecting export-bound jet fuel to its local market.
“South Korean refineries are important to New Zealand’s fuel supply,” he said. “We’re keeping that relationship very tight.”
Seymour pointed out that Prime Minister Christopher Luxon spoke with Korea’s President on Tuesday night.
In a post on X, formerly Twitter, after that conversation, Luxon wrote that the discussion focused on “the urgent need for de-escalation and the importance of stability to keep our economies moving”.
Labour’s energy spokeswoman Megan Woods said she was looking forward to finding out more about the Government’s action plan.
“At the moment, I think there’s a lot of fear, a lot of uncertainty and people not knowing what’s coming next,” Woods said.
– RNZ