Iran war: St John absorbing fuel cost hikes, no change for patients
Wednesday, 1 April 2026
Hato Hone St John is reminding people there has been “no operational impact” from the ongoing Middle East conflict, but that it is preparing in case things get worse.
It is already absorbing a significant hike in costs - its diesel bill has risen by a third.
“We use just over 8500 litres of diesel per day, and we've seen over 30% [price] increase for us, so that, in dollar terms, is around $100,000 a year,” St John’s Doug Gallagher, who is the general manager of ambulance operations, told The Post.
He said the service was not yet experiencing any fuel supply problems, but work was under way to make sure that didn’t change.
“We're working closely with our funder, Health New Zealand. We're talking to overseas ambulance services, just to really check what they're thinking … because this is something new for us”
It had been “many, many years” since there had been a fuel supply issue and the agency took “comfort” that its thinking was aligned with Australian counterparts, said Gallagher.
“[We’re] working through with our suppliers in terms of making sure that there's continuity, but at the end of the day, being an emergency service, we're prioritised. While the levels aren't completely confirmed with the government in terms of what there might be at each level, we know that we're going to … be at the top of the list.”
What that prioritisation would be like in reality, Gallagher said, was yet to be determined but it could include having a special place or designated fuel lane for ambulances.
“Should there actually be a fuel supply challenge, we know that the provision’s there, and we're going to be first in line, whatever that looks like.”
Diesel is on average now more expensive than 91 octane petrol at the pump here in New Zealand, according to price comparison site Gaspy.
Last week, the Government outlined its four phase plan for if fuel stocks drop; New Zealand is currently in phase one, with no need for restrictions, but this could change as the crisis evolves. It would take until stages three and four for priority bands to be introduced.
As reported previously by The Post, St John and Wellington Free Ambulance’s vehicles are operating without on-site diesel reserves but have been given priority access in the Government’s national fuel plan.
St John deputy chief executive corporate operations Cameron Brill said the agency was not able to store diesel on site as it did not have space or the appropriate facilities to store reserves safely.
Gallagher added that for compliance reasons, it wasn’t feasible to store diesel - and wasn’t necessary either.
“We're not looking to do that now, firstly, because we don't need to, because we're going to have supply throughout this anyway, regardless of really what happens. And secondly, the challenges and safety issues that that brings in itself.”
St John has a specific fuel contract in place which means prices are already lower than for the public, he added, but that has not stopped them from rising.
Critically, the message to the public in times of emergency was simple: don’t change your behaviour and continue to call 111.
“If taking yourself to hospital is appropriate, we'll give that advice, and we do that now anyway, because there are many callers that we get who are concerned think they might need an ambulance, and we're able to provide a clinical assessment and advise actually, you can take yourself to your doctor tomorrow because it's safe,” Gallagher said.
“We're working in the long term with our purchaser in terms of our contract, but that's quite separate from the rise in fuel price. It's not impacting our decision making, and I can't foresee that it would impact our decision making in terms of the service we provide.”