Downsides of Marsden Point closure are increasing

The Mari­time Uni­on says fur­ther threats are emer­ging from the clos­ure of Marsden Point refinery.

It has been repor­ted that the cost of bitu­men will be rising by 40%.

Bitu­men is now impor­ted after its loc­al pro­duc­tion was phased out as part of the wind down of the Marsden Point refinery by its own­ers.

Mari­time Uni­on of New Zea­l­and Nation­al Sec­ret­ary Craig Har­ris­on says it is naïve to think that oil com­pan­ies involved had any com­mit­ment to New Zea­l­and oth­er than ensur­ing profit.

“Their interest is share­hold­er return. New Zealand’s interest is energy secur­ity. These two interests are in con­flict with each oth­er.”

The recent buy out of Z Energy by Ampol shows any loc­al con­trol of fuel has been com­pletely lost, says Mr Har­ris­on.

Mr Har­ris­on says the cur­rent glob­al sup­ply chain crisis is a red alert warn­ing that New Zea­l­and needed to have a strategy for secure energy sup­plies.

Polit­ic­al ten­sions in the Asia Pacific region were anoth­er emer­ging threat to reli­ance on Asi­an refiner­ies.

Mr Har­ris­on says New Zea­l­and can’t rely on the good will of glob­al fuel com­pan­ies and drew an ana­logy with what has happened in ship­ping ser­vices to New Zea­l­and in the last year.

“Pre­vi­ous Gov­ern­ments forced us into reli­ance on glob­al ship­ping com­pan­ies to move New Zea­l­and exports and imports, and there was no backup plan.”

Mr Har­ris­on says the Gov­ern­ment needs to move to keep Marsden Point open to ensure New Zea­l­and fuel secur­ity, as well as ensur­ing New Zea­l­and flagged coastal tankers remained in ser­vice.