Iran war: Diesel, petrol and jet fuel to be given own alert levels in fleshed out fuel plan
Friday, 27 March 2026
Diesel, petrol and jet fuel would be able to be given different alert levels as part of the Government’s fuel shortage response.
It’s a glimpse into the nuts and bolts of the Government’s fuel plan that will be announced by Finance Minister Nicola Willis and Resources Minister Shane Jones about midday on Friday.
Willis told the House on Thursday the announcement would explain the levels and the criteria used to assess if alert levels changed from further fuel shortages.
“What we are determined to do is to ensure that people aren’t in a situation where things change suddenly overnight in ways that aren’t expected.”
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As such, Willis said the Government would be clear with New Zealanders, flagging any alert level assessments before announcing decisions.
Willis said she expected alert levels to be progressed in sequence, rather than skipped, and the goal was to avoid ever getting to phase three or four.
“Our goal is to be doing enough to source the supply of fuel internationally so that does not become necessary.”
On Wednesday Willis outlined some of the questions the announcement would answer.
“We will give answers to some of the questions that New Zealanders are asking: What will that framework look like? What are the different phases of response that the Government envisages? What would be the triggers to move to additional measures? How would ministers assess that? How would they work with the industry to make those things happen?”
Willis said MBIE, Ministry of Transport and MPI had undertaken extensive engagement with fuel companies, fuel users and industry-affected entities on the plan.
Late on Thursday, MBIE released a more detailed breakdown on what fuel shipments were in New Zealand waters and what was on the way.
There are six ships currently discharging or moving between ports, providing the country with 19.8 days of petrol, 11.6 days of diesel and 11.7 days of jet fuel. This is in addition to what is already in the country.
Another ship is expected to arrive by Sunday carrying 4.2 days of diesel. Two more are due to arrive the following week and four more in the week beginning April 6.
What are the escalation levels?
The National Fuel Plan is the Government’s blueprint for dealing with a range of fuel disruption from slightly elevated costs to rationing petrol for lifeline services.
Under the plan there are four levels ‒ a little bit like the Covid-19 response system.
Currently New Zealand is under level one of the plan, which indicates there is a minor effect on the fuel sector but the potential for the situation to escalate.
Fuel companies are required to notify the head of a sector co-ordinating entity, a group chaired by MBIE and made up of petrol companies to plan for potential disruption.
NEMA also has to notify local Civil Defence groups of the situation.
The next step up ‒ level two ‒ is more significant in real terms for everyday fuel users, with measures put in places to prioritise fuel usage such as designated stations and lanes for people to fill up.
While motorists would still have the the ability to fuel up at level two, critical users such as emergency service personnel, lifeline utilities and health workers would be prioritised to manage stocks.
At level three, New Zealand’s fuel supply would be seriously impacted and we would see more fuel prioritised for those critical users.
Alongside the prioritisation of fuel at level three, the plan also discussed the possibility of measures such as petrol station opening hour restrictions, setting maximum purchases, and restricting sales of fuel to containers to discourage hoarding.
It’s likely that a state of emergency would also be in place.
For the highest tier ‒ level four ‒ New Zealand would have to be facing severe constraints, and fuel would only be provided to critical customers.