November 5, 2025

NZ’s fuel security plan to reduce dependence on global markets

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Photo Source: Pexels.com

The New Zealand Government has released its Fuel Security Plan, outlining measures to ensure the country maintains reliable access to fuel in the event of global supply chain shocks or domestic disruptions.

Associate Energy Minister Shane Jones said the plan reflects the Coalition Government’s focus on economic resilience and national wellbeing.

“Fuel security is a cornerstone of New Zealand’s economic resilience and national wellbeing. As an island nation reliant on imported fuels, we must be prepared for global supply chain shocks and domestic disruptions,” Mr Jones said.

The plan, released on Monday, follows the closure of the Marsden Point refinery in 2022, which left New Zealand fully reliant on imported refined fuels. It builds on the findings of the 2025 Fuel Security Study, which found the existing supply system largely robust but highlighted areas where additional resilience was needed.

The plan is structured around four areas: strengthening resilience against global shocks, improving domestic preparedness, supporting alternative fuels, and ensuring stability during the transition to cleaner energy sources.

1. Global supply resilience

Fuel importers are already required to maintain minimum onshore stock levels of petrol, diesel, and jet fuel, Major importers must hold additional diesel reserves, with a 2026 review to consider expanding this obligation to all importers from July 2028. The Government will also improve supply chain transparency and continue to participate in international emergency exercises.

2. Domestic resilience

Importers will be required to hold 10 days’ worth of jet fuel at 80 per cent of normal capacity at Auckland Airport to ensure aviation operations remain stable during disruptions starting from November 2026. The Government will also work more closely with the private sector to improve preparedness and response capability for domestic interruptions.

3. Supporting alternative fuels

The plan includes support for EV charging infrastructure, the introduction of a renewable diesel standard, and regulatory settings to encourage domestic production of low-carbon fuels. It also commits to reviewing regulatory barriers for alternative fuels in aviation and shipping.

4. Transitioning market resilience

The Government will monitor fuel supply and demand trends to prevent regional vulnerabilities and ensure continued investment in critical infrastructure.

“The Fuel Security Plan is not just about managing risk; it is also about supporting economic growth and building greater self-reliance,” Mr Jones said. “That means investing in domestically produced energy… to reduce our dependence on global markets.”

The Fuel Security Plan is part of the New Zealand First–National Party Coalition Agreement.

Industry commentators have described the plan as a “constructive step”, noting that it strengthens the country’s preparedness while leaving room for market adaptation.

Public consultation on the plan took place in mid-2025. The first obligations—covering jet fuel stock levels—come into force in November 2026, followed by the diesel reserve requirements in July 2028. A review in 2026 will assess whether to extend stockholding rules to all importers.

“By harnessing our own resources, we can strengthen our energy security and ensure New Zealand is better prepared for the future,” Mr Jones said.

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