Nicola Willis outlines criteria for fuel alert level changes

Finance Minister Nicola Willis and Associate energy minister Shane Jones have announced what criteria will need to be met in order to move up each fuel alert level.

New Zealand remains at alert level 1, with the government working closely with fuel supplies to ensure stability.

“We have the gift of time and are working with those who would be affected,” says Willis.

The phases are as follows

Phase 1: The government is closely monitoring fuel supplies. People and companies are encouraged to save fuel.

Phase 2: Supplies are continuing to flow. There are no fuel restrictions, but there are concerns over future supply.

Phase 3: Restrictions begin. The government prioritises supplying essential services and could put purchase limits in place for regular customers

Phase 4: Petrol stations under strict access controls. The government would prioritise life preserving services and strictly control the distribution of fuel.

Willis also announced a fuel saving marketing campaign called “stretch.” This campaign, run by the Energy Efficiency and Conservation Authority (EECA) will help households save up to 20% on their fuel bills.

Fuel prices have already gone up exponentially around the country this month as Brent-crude oil prices scratch at all time highs. This is one of many flow-on effects from the US and Israel's war on Iran which has led to the closure of the Strait of Hormuz.

Currently, according to the NZ Taxpayers Union Fuel Clock, petroleum stocks sit at just under 20 days, with 8.7 days confirmed on ships. Diesel is sitting at around 13 days, with 12.6 days inbound.

However, MBIE records report petroleum supplies sit at around 24.5 days with another 24 days on sea. Diesel stocks are at 18.1 days onshore with a further 28.3 days incoming.

Each day is calculated from an average over the last 12 months. Petrol is roughly 8.1 million litres per day, and diesel is roughly 10.7 million litres per day.