Fuel security at risk

New Zealand should not rely on assurances of international fuel companies about our fuel security.

The Mar­itime Union says New Zealand should not rely on assur­ances of inter­na­tion­al fuel com­pa­nies about our fuel secu­ri­ty, as the fall­out from the clo­sure of Mars­den Point refin­ery con­tin­ues.

Mar­itime Union of New Zealand Nation­al Sec­re­tary Craig Har­ri­son says con­cerns expressed by indus­try researchers about New Zealand’s fuel stock­piles and ener­gy secu­ri­ty must be lis­tened to.

Respond­ing to recent claims by Z Ener­gy about fuel secu­ri­ty, Mr Har­ri­son says the lan­guage used by Z Ener­gy spokes­peo­ple was opaque, and admit­ted the pos­si­bil­i­ty of risks with the clo­sure of Mars­den Point and a major shift in the fuel sup­ply chain.

He says there needs to be a Gov­ern­ment plan for fuel secu­ri­ty for New Zealand that has an ele­ment of redun­dan­cy built into it.

The clo­sure of Mars­den Point refin­ery is one risk fac­tor affect­ing fuel secu­ri­ty, but a relat­ed threat is the plan to remove New Zealand flagged coastal tankers from oper­a­tion in favour of deliv­er­ies to New Zealand ports by inter­na­tion­al ves­sels, says Mr Har­ri­son.

“We need the Gov­ern­ment to declare if it has a posi­tion about the reten­tion of the New Zealand flagged tankers in the inter­ests of New Zealand.”

“The main les­son from the cur­rent dis­rup­tion to glob­al sup­ply chains in the post-COVID era is New Zealand can­not rely on over­seas ship­ping oper­a­tors.”

Mr Har­ri­son says New Zealand coastal tankers ensured a reli­able reg­u­lar ser­vice with a very strong safe­ty record, and pro­vid­ed a back­up option for emer­gency fuel deliv­er­ies, such as dur­ing the 2017 Auck­land pipeline fail­ure.

An unplanned for dis­rup­tion of fuel sup­plies to region­al New Zealand through glob­al cri­sis or nat­ur­al dis­as­ter would crash the econ­o­my, he says.

Two New Zealand flagged and New Zealand crewed coastal tankers cur­rent­ly oper­ate on the New Zealand coast, the MT Kokako and the MT Matuku.

The ves­sels are man­aged by New Zealand oper­a­tor Sil­ver Fern Ship­ping Lim­it­ed and owned by inter­na­tion­al oper­a­tor ASP Ship Man­age­ment Group, which char­ters them to Coastal Oil Logis­tics Lim­it­ed (COLL).

COLL trans­ports petro­le­um prod­ucts from Mars­den Point to New Zealand ports on behalf of its share­hold­ers BP, Mobil and Z.

 

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