MTA probes fuel plan
The Motor Trade Association (MTA) is in the process of evaluating the possible impacts of the government’s fuel plan on its members, the industry and public.
It is working with an industry fuel-users’ group led by the Ministry of Business, Innovation and Employment.
“We are in regular contact with industry,” says a spokesman for the MTA. “It’s important the government offers a clear and calm pathway forward.
“We are in the process of surveying members to gauge the impact. It’s too early to draw any firm conclusions at this point.”
As for the government changing our national fuel standards to align with Australia’s, “the MTA supports this step as a practical measure in the current situation”.
It was on March 27 that the government released updates about the national fuel plan to respond to supply uncertainty driven by the conflict in the Middle East.
It outlines four phases that respond proportionately to risks to the country’s fuel security. These phases are assessed separately for petrol, diesel and jet fuel.
At each phase is a set of measures that would be taken in response to escalating risks. The coalition’s fuel-security ministerial oversight group will be responsible for deciding if a shift between phases is appropriate.
The group is required to consider a move if there’s a change in any of the six assessment criteria. These are:
• If any of New Zealand’s source refineries introduce or relax export restrictions.
• Changes to fuel-stock levels of plus or minus three days since the most recent update.
• A fuel company informs the government it’s unlikely or unable to fill future orders.
• A breach or a notification of an imminent breach of minimum storage obligations.
• Any significant policy changes in Australia or from the International Energy Agency.
• A significant disruption to regional distribution.
Phase one of the plan focuses on monitoring global developments, easing restrictions to increase optionality such as changing fuel specifications, providing information to consumers of measures to support voluntary reductions in use, and working with fuel companies to keep fuel moving efficiently across the country.
Phase two would see more active co-ordination between the government and industry to shore up fuel supply and support increased efforts in demand reduction.
At phase two, there would be a stronger push for voluntary uptake by households and businesses of measures that help to conserve fuel, and a reduction in the public sector’s use where appropriate.
If disruption increases, the plan allows for stronger interventions at phases three and four. These include prioritising fuel for the emergency services, freight and food supply chains, and key industries underpinning the economy.
