New Zealand’s fuel reserves have dipped as global instability continues to put pressure on supply, but the government is urging calm, insisting there is no disruption.
Finance Minister Nicola Willis and Associate Energy Minister Shane Jones say the country still holds “healthy levels of petrol, diesel and jet fuel,” despite a drop compared to last week.
Motorists, however, are already reacting to rising petrol prices, filling up amid growing concern that New Zealand’s fuel security.
The pressure is being driven by ongoing disruption to global fuel markets, particularly tensions affecting the Strait of Hormuz, a critical route through which one-fifth of the world’s oil exports normally pass.
“As at midnight on Sunday, March 15, combined petrol, diesel and jet fuel stocks equated to about 49 days of cover nationwide, including fuel held onshore in storage terminals and fuel already on ships bound for New Zealand,” Willis said.
Despite the drop, Willis downplayed the significance.
“It’s important to remember that fuel supply is inherently dynamic. Stock levels fluctuate week to week as fuel is consumed and new shipments arrive.”
“Levels are down slightly from last week, but the changes reflect normal patterns of consumption and shipping. They are not a sign of supply disruption.”
From this week, the Ministry of Business, Innovation and Employment will begin reporting on fuel shipments currently en route to New Zealand, a move aimed at improving transparency as uncertainty grows.
Willis said more supply is already on the way.
“More than a week’s worth of fuel is scheduled to arrive over the coming days, with additional shipments already on the water and due later this month.”
Jones said the government is working with fuel companies to improve the frequency and quality of supply data, stressing the need to identify risks early.
“This is critical to ensuring we can identify emerging risks early and plan appropriately. My expectation is that fuel companies are responsive and continue to work constructively with government as the situation evolves.”
He added that, for now, officials believe New Zealand is positioned to weather the fallout from the Strait of Hormuz disruption.
“All indications are, so far, that New Zealand is well-placed to deal with the fallout from the closure of the Strait of Hormuz.” We are working closely with other countries and our suppliers to ensure this continues.”