Watch: Govt to announce NZ’s latest fuel stocks plus trigger points to move NZ up alert level
Newstalk ZB

Watch: Govt to announce NZ’s latest fuel stocks plus trigger points to move NZ up alert level

Finance Minister Nicola Willis will today unveil what could be the trigger points for New Zealand to move up the escalation levels found in the country’s National Fuel Plan.  The minister has said there won’t be a move to a higher level on Friday (New Zealand is currently at Level 1).  However, it is possible the Government could take “additional actions” within a single response phase.  There will also be different levels laid out for diesel, petrol and jet fuel.  “What we are intending to have is 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,” Willis said.  “Part of that assessment will include engagement with industry.”  Willis expected to hold a press conference alongside Associate Energy Minister Shane Jones about 12pm on Friday. The Herald will livestream that above.  Earlier today, Transport Minister Chris Bishop said there had been changes in driving behaviour in response to the Middle East conflict, which is resulting in higher fuel prices.  “Comparing the two weeks pre-conflict in mid-February against seven-day rolling averages for subsequent weeks, we have seen a reduction of approximately 20% in the vehicle kilometres travelled by cars. Not necessarily surprising when petrol prices have gone up 30%.  “Also not surprising is that people are responding in a predictable way so far: they are using public transport more, with boardings up by more than 10% in Auckland and Wellington.”  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 just 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 that 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.”  The Finance Minister and associate Energy Minister are providing an update at midday. Photo / Mark Mitchell  New Zealand is currently at Level 1, where there is a “minor” impact on the fuel sector, but this “may escalate”.  At this stage, the focus is primarily on Government and industry co-ordinating and preparing for the potential for disruption.  The National Fuel Plan says Level 2 is where there is a “moderate” impact on the fuel sector, and “critical customer prioritisation measures” are invoked.  Under this generic framework, customers would still be able to get fuel, but there is a “risk of shortages to critical fuel customers”.  The critical fuel customer prioritisation measures invoked at this stage could include having designated fuel retail outlets just for these customers, designated lanes at stations, or mini-tankers on-site.  A decision could be made to direct fuel companies to prioritise these customers.  What are critical fuel customers?  They would be specifically named organisations viewed as “critical to response activities and have a reliance on fuel resupply to carry out response activities”.  These would include emergency services, as well as the likes of the Ministry of Health, Corrections, and Defence.  The plan says security arrangements may need to be organised at the outlets to “maintain a safe working environment for sit...

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