Removal of New Zealand coastal tankers will put fuel security in jeopardy

Maritime Union of New Zealand / New Zealand Merchant Service Guild joint statement

Unions rep­re­sent­ing New Zealand sea­far­ers say an announce­ment that two New Zealand flagged oil tankers will be tak­en out of ser­vice is a high risk move that leaves New Zealand vul­ner­a­ble to sup­ply chain dis­rup­tion.

The Mar­itime Union of New Zealand rep­re­sents sea­far­ers and the Mer­chant Ser­vice Guild rep­re­sents ships cap­tains and offi­cers.

The two unions are call­ing for a two year mora­to­ri­um on the deci­sion by petrol com­pa­nies, and say the Gov­ern­ment needs to step in to keep the tankers on to see if the new fuel sup­ply chain works as has been promised.

Coastal Oil Logis­tics Lim­it­ed (COLL) cur­rent­ly trans­ports petro­le­um prod­ucts from Mars­den Point to New Zealand ports on behalf of its share­hold­ers BP, Mobil and Z.

Two New Zealand flagged and New Zealand crewed coastal tankers 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 COLL.

The clo­sure of the Mars­den Point refin­ery will see a move to direct inter­na­tion­al refined fuel imports to New Zealand ports, accord­ing to petrol com­pa­nies.

Apart from the Mars­den Point–Auckland pipeline, the major­i­ty of domes­tic fuel is cur­rent­ly shipped from Mars­den Point by the two New Zealand-flagged tankers to region­al ports for dis­tri­b­u­tion.

Mar­itime Union Nation­al Sec­re­tary Craig Har­ri­son says New Zealand coastal tankers ensure a reli­able reg­u­lar ser­vice with a very strong safe­ty record.

Mr Har­ri­son says the tankers pro­vide a back­up option for emer­gency fuel deliv­er­ies, such as occurred dur­ing the 2017 Auck­land pipeline fail­ure.

Mer­chant Ser­vice Guild Vice Pres­i­dent Iain MacLeod says a dis­rup­tion of fuel sup­plies to region­al New Zealand through glob­al cri­sis or nat­ur­al dis­as­ter would have dan­ger­ous con­se­quences.

He says the main les­son of the cur­rent dis­rup­tion of glob­al sup­ply chains in the post-COVID era is New Zealand can­not rely on over­seas ship­ping oper­a­tors.

Mr Har­ri­son says a small diver­sion of funds from fuel levies on high­ly prof­itable petrol com­pa­nies could pro­vide a guar­an­tee of two New Zealand-flagged coastal tankers remain­ing on the coast for a tri­al peri­od of two years in the cur­rent unpre­dictable glob­al envi­ron­ment.

“We are ask­ing the Gov­ern­ment to take a seri­ous sec­ond look at this sit­u­a­tion, rather than regret­ting things when it is too late.”

Both unions view the cur­rent strat­e­gy as high risk and dri­ven by cor­po­rate self-inter­est, while the impli­ca­tions of major shifts to New Zealand’s fuel sup­ply chain have not been ful­ly explored.

Share the Post:

Related Posts