Transport unions renew calls for Marsden Point refinery to be restarted

Two of New Zealand’s main transport unions are urging the Marsden Point refinery be returned to functioning status, if necessary through Government ownership.

Two of New Zealand’s main trans­port uni­ons are urging the Marsden Point refinery be returned to func­tion­ing status, if neces­sary through Gov­ern­ment own­er­ship.

The Mari­time Uni­on of New Zea­l­and and the Rail and Mari­time Trans­port Uni­on togeth­er rep­res­ent thou­sands of work­ers in the ports, ship­ping and rail sec­tors.

The privately owned Marsden Point facil­ity ceased refin­ing crude oil earli­er this year but is still intact and is being mod­i­fied into a stor­age facil­ity.

Rail and Mari­time Trans­port Uni­on Gen­er­al Sec­ret­ary Wayne But­son says the clos­ure of Marsden Point refin­ing oper­a­tions has left New Zea­l­and exposed.

He says the clos­ure was driv­en by the short term interests of fuel com­pan­ies who owned the refinery, and has under­mined fuel secur­ity for New Zea­l­and.

Iron­ic­ally, profits for fuel com­pan­ies from fuel refin­ing have soared this year.

Mr But­son says Marsden Point could be upgraded to refine New Zea­l­and pro­duced crude oil, and this could keep essen­tial ser­vices func­tion­ing in the case of emer­gency.

He says both Uni­ons have act­ively pro­moted rail and ship­ping trans­port modes, which are com­par­at­ively low emis­sion.

“We need low emis­sion trans­port and decar­bon­iz­a­tion, but we also need fuel secur­ity in the short to medi­um term trans­ition peri­od.”

Mari­time Uni­on of New Zea­l­and Nation­al Sec­ret­ary Craig Har­ris­on says the volat­il­ity of glob­al fuel prices and sup­ply chains are mak­ing the clos­ure of the refinery look even more of a bad idea.

“Sup­ply chain dis­rup­tion is the new nor­mal and ongo­ing COVID, glob­al con­flict and secur­ity threats means New Zea­l­and is dan­ger­ously exposed.”

He says New Zea­l­and is now com­pletely depend­ent on impor­ted refined fuel being shipped into New Zea­l­and ports by over­seas tankers.

Two New Zea­l­and flagged and crewed tankers were taken out of ser­vice recently due to the shut­down of Marsden Point refinery, fur­ther redu­cing New Zealand’s fuel secur­ity.

“Our fuel reserves are small com­pared to many oth­er coun­tries and from what we have seen in the last couple of years, the sup­ply chain is very vul­ner­able to shocks.”

The ser­i­ous situ­ation being faced in Europe due to dis­rup­tion of gas sup­plies from Rus­sia was a warn­ing of how quickly events could unfold, he says.

Mr Har­ris­on says there are a num­ber of poten­tial options, includ­ing part or full Gov­ern­ment own­er­ship of the refinery.

He says the Aus­trali­an Gov­ern­ment had kept two Aus­trali­an refiner­ies open by under­writ­ing them, which was a spe­cif­ic response inten­ded to ensure fuel secur­ity.

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13 Responses

  1. Yes so glad that someone is using com­mon sense here.we need to be drilling for oil and gas also min­ing for coal and not be so reli­ant on over­seas impor­ted low grade oil.We also had the best crude oil for avi­ation fuel now appar­ently I heard through the grapev­ine that the avi­ation fuel frm Asia is block­ing fil­ters when they unload it.glad that no planes have fallen from the Skies YET !!!!!

    1. No one needs a geo­graphy les­son to real­ise we are more vul­ner­able than ever to eco­nom­ic col­lapse because of fuel short­ages which will increase costs across the board unless we restart Marsden point and start refin­ing our own fuel, why import all our fuel when we should be min­ing our own oil and refin­ing it.
      More jobs cheap­er trans­port , state owned enter­prise there’s an idea.

    1. Yes the CLOSURE of MARSDEN POINT OIL REFINERY has Great issues than just the Fact That NZ is Now TOTALLY RELIANT on IMPORTED FUEL’S from Sev­er­al Asi­an Refiner­ies! There Now Sev­er­al oth­er Products which were Extrac­ted from The Refin­ing Pro­cess at MARSDEN POINT
      #1 CO2 Car­bon Diox­ide used in Food Pack­aging, mak­ing of Fizzy Drink’s & Plant pro­duc­tion in Glass­houses!
      #2 Sul­phur used for the Pro­duc­tion of Fer­til­izers used on NZ Farms!
      #3 BITUMEN used to make ASPHALT which has been IMPORTED for Over 18 Months COSTING 3 TIME’S The PRICE & of POOR QUALITY Hence So MANY POTHOLES around NZ!
      With The Increases of Impor­ted Dies­el Fuel this will Start Effect­ing the COST’S too Farm­er­’s too Grow & Har­vest Our Food, Plus Slow Down EXPORTS of Dairy & Log’s Required to Bal­ance The NZ Book’s!
      The Trans­port Oper­at­or’s are start­ing to Feel The EFFECTS of Increas­ing FUEL PRICE’S hence many are look­ing at Clos­ing Down as The Large Super Mar­ket’s & Chain Store’s Don’t Want too Pay The Increased PRICE’S!
      New Zea­l­and is Head­ing in a Very Bad Dir­ec­tion!
      One way around this is for Aver­age Kiwi’s too Buy Shares in Chan­nel Infra­struc­ture & Force The 3 Oil Giants BP, Mobil & ( “Z Energy” which is Now TOTALLY Owned by Ampol Oil Aus­tralia) New Zea­l­and Share­hold­ers Need to Take Back Con­trol of The MARSDEN POINT Facil­ity & Rein­state NZ REFINING COMPANY!

      I’ve already Brought a small par­cel of Share’s so I can have my say & I Encour­age Oth­er Kiwi’s too do The same !

      Chees & GOD Bless
      Karl Barkley
      Engin­eer Farm­er

      1. I have bought 102 shares and two of my friends are buy­ing shares in marsden point to help keep it in nz hands.

  2. This should have been Fort for in 2021 but man­date cov­id took over gov­ern­ment did not look at the big pic­ture or our future.

    1. Should nev­er have been sold in the first place thanks to a nation­al gov­ern­ment Yes get it going again

  3. Fully sup­port NZ being inde­pend­ent again. This govt is too short sighted and has no back up plan in place.

  4. Clos­ing Marsden Point was stu­pid. The dumbest thing a govt has ever allowed to hap­pen. It seems the labour govt have con­veni­ently for­got­ten his­tory. The les­sons learnt after ww2 and the oil shocks of the 70s have been dis­missed. Total incom­pet­ence at the highest level. NZ may pay a price in the near future. If China have a crack at Taiwan , this will close the ship­ping lanes down and NZ will be up shit creek. I recall Helen Clark say­ing on tele­vi­sion , I find it incon­ceiv­able that a war could break out in the mod­ern day. Well Hello !! what do we have now, Ukraine & Rus­sia. There are still plenty of dic­tat­ors on this piece of dirt to war­rant the reten­tion of a stra­tegic oil refinery such as Marsden Point.

  5. The cur­rent gov­ern­ment has a lot to answer for. Instead of the social engin­eer­ing they are attempt­ing, wast­ing bil­lions of tax­pay­er money they should be focus­ing on the core ser­vices .… Infra­struc­ture.
    The gov­ern­ment at all times should be in con­trol of all levels of Energy Infra­struc­ture — that is Fuel Sup­ply, Power Gen­er­a­tion and Trans­mis­sion to major cen­ters. Then you have Rail­way & Roads — any­one can oper­ate them, but gov­ern­ment MUST own them.
    If the share­hold­ers do not want to oper­ate Marsden Point, then they should nev­er have been allowed to dis­mantle it. The gov­ern­ment should have taken con­trol and nation­ised it as a crit­ic­al resource. For­get pay­ing them for it — just take it under the name of nation­al secur­ity. The fuel com­pan­ies already make obscene profits so they can be hit with high­er com­pany taxes too.

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