- Hon Shane Jones
New rules will be introduced that require fuel companies to hold at least 10 days of jet fuel near the country's busiest airport to provide resilience against supply disruptions, Associate Energy Minister Shane Jones says.
"For more than seven years fuel companies have held jet fuel supplies at lower than recommended levels, risking New Zealand's regional and international connections in times of tight supply," Mr Jones says.
"In 2017 New Zealand experienced the severe impacts of fuel disruption when a digger ruptured the Ruakākā to Auckland fuel pipeline, impacting more than 270 flights and creating delays as planes were required to pick up fuel at other airports.
"The 2019 Government Inquiry into the Auckland Fuel Supply Disruption recommended fuel companies make investment decisions without delay to provide 10 days of jet fuel cover for operations at 80 per cent of peak operations.
"Fast forward to today and industry inaction has left New Zealand vulnerable to the impacts from disruptions to jet fuel supply. New Zealand is a trading nation that is a long way from anywhere else and we must safeguard our economy against such disruptions."
Under regulation changes to be brought in later next year, jet fuel companies will be required to hold 10 days of jet fuel at 80 per cent of operations near Auckland Airport with regular reporting requirements to provide assurance the country is protected and its supply secure.
"We have set a November 2026 deadline to allow enough time for engineering works and to enable fuel companies to act before the busy summer travel season over 2026/27. Consultation with industry shows this new requirement may be met by an existing option to convert a tank at the Wiri Terminal to hold jet fuel.
"Fuel security is a top priority for this Government and this action shows we will always put New Zealand's interests first, to keep us flying and connected to the world," Mr Jones says.
