The Government has unveiled four new phases to reflect New Zealand’s response to risks to fuel security, as well as the six criteria that will be used to assess a move up or down.
Finance Minister Nicola Willis announced the changes alongside Associate Energy Minister Shane Jones at midday today.
At Phase 1 of the plan, the focus is on monitoring global developments, easing restrictions (such as changing fuel specifications), providing information to consumers of measures to support voluntary reductions in fuel use, and working with fuel companies to keep fuel moving efficiently across the country.
This is where New Zealand is currently and reflects actions the Government has been taking in recent weeks. For example, it announced on Monday it would change fuel specifications to match Australia’s.
The second phase would involve more active co-ordination between the Government and industry, with the aim to shore up fuel supply and support efforts to reduce demand.
This would include a stronger push for voluntary uptake of conservation measures by households and businesses as well as a reduction in the public sector’s use of fuel where appropriate.
There are stronger interventions at the third and fourth phase. These would include prioritising fuel for emergency services, freight and food supply chains, and key industries that underpin New Zealand’s economy.
“The measures at Phases 1 and 2 are designed to prevent a move to more restrictive measures. This plan is about staying ahead of the risk, managing pressure in the system and keeping the economy moving,” Willis said.
“It is prudent, however, to plan for all scenarios so that everyone – the Government, industries, businesses and the general public – is prepared. Therefore, we will be engaging with stakeholders over the next two weeks including industry, fuel users and local government on the implementation details of Phases 3 and 4.”
In a factsheet delivered by the Government, Phase 3 and 4 are considered “under consultation”.
The Fuel Security Ministerial Oversight Group will be responsible for deciding whether a shift between phases is appropriate. There are six assessment criteria that will be considered.
These are:
Willis said there was no need for fuel restrictions at present but the Government is “planning carefully, acting early and making sure New Zealand is well positioned to respond, whatever the global environment brings”.
“Ensuring New Zealand has the fuel we need to protect jobs, livelihoods and the wider economy is our first priority in managing the impact of global fuel disruption.
“The updates released today give practical effect to the National Fuel Plan established in 2024 and reflect the specific potential risks New Zealand could face as a result of major fuel disruption driven by the conflict in the Middle East.”
As the Herald detailed two weeks ago, New Zealand’s National Fuel Plan contains four levels of escalation to respond to a disruption to fuel supply, depending on the severity of the situation.
However, the plan is not specifically designed for a situation where supply from overseas has been compromised. Instead, it is a generic plan that could be used in “many events”, such as fuel supply being disrupted by earthquakes, sabotaged pipes or damaged road networks.
Last week, the Herald reported the Ministry of Business, Innovation and Employment (MBIE) was providing advice to ministers on relevant considerations for a move to Level 2.
Willis also said at the time she didn’t anticipate having to move up levels “until we see any actual disruption in ships being able to come to New Zealand”.
“I am advised further mitigations under the National Fuel Plan are at least three to four weeks away.”
Labour leader Chris Hipkins welcomed further clarity on the Government’s plan but said questions remained.
“Kiwis want to know what happens in the more severe phases of a fuel shortage, what further restrictions could look like, and how they will be able to go about their lives and access support,” he said.
“Fuel prices flow through to food, transport and everyday essentials and people need to know there is a plan if things get worse.”
He claimed the Government had worsened the cost of living before the conflict in the Middle East and questioned how effective the Government’s relief package of $50 per week for about 140,000 families would be.
“It’ll be another two weeks before they receive anything and for most Kiwis, there is nothing at all to ease the pressure.”
Speaking in the House on Thursday, Willis said there would be no change to the fuel response phase overnight, “although it is the case that within a response phase, we will continue to take additional actions, some of which we will detail tomorrow”.
“Tomorrow, we will also provide more information about the criteria we will use to assess when a change in the response phase is required ... these will include things like changes in the amount of fuel in the country.”
She said it was the Government’s aim to avoid needing to move to Level 3 or 4, which is where mandatory fuel demand constraints could be used, such as restricting fuel outlet opening hours or restricting sales.
According to the latest update from MBIE, accurate to Sunday, there are 48.7 days of petrol stock either in-country or on the water, 46.4 days of diesel and 53.4 days of jet fuel.
Jamie Ensor is the NZ Herald’s chief political reporter, based in the press gallery at Parliament. He was previously a TV reporter and digital producer in the Newshub press gallery office. He was a finalist in 2025 for Political Journalist of the Year at the Voyager Media Awards.