New Zealand Government to review country’s fuel supply

Z Energy has welcomed the confirmation from the government that it would hold a study into fuel supply chain security and reliability in the new year.

“With the outage of the Refinery to Auckland Pipeline (RAP) in September, the government indicated this would be reviewed and we welcome the broadening of the study to encompass the reliable and secure operation of the fuel supply chain,” said Z General Manager of Corporate, Lindis Jones.

Z Energy feels that the New Zealand supply chain is not secure enough as it is isolated from major fuel markets and depends on key infrastructure.

“While this infrastructure has served New Zealand well for decades and has minimised supply chain costs, Z has expressed concerns about the lack of resilience in the fuel supply chain, which we are currently experiencing as the industry rebuilds fuel supply positions in the upper North Island,” said the company in a submission on this matter to MBIE in 2012.

Last September, around 70,000 litres of fuel were spilled as a leak teared on a 168-kilometre pipeline travelling from the oil refinery at Marsden Point in Northland to tanks in Wiri, south Auckland.