Shane Jones: Associate Energy Minister on the update to the Government's fuel response plan, concerns about supply
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What is the Government's updated fuel response plan?
We got yesterday the government plan we'll likely never use. It's the reshape phase four or four phase plan. The thinking of it all goes pear-shaped in Iran and we run out of petrol basically. Shane Jones is the Associate Minister for Energy and he's back with us. Morning. Yeah, g'day. Morning. I would be surprised if we ever get out of phase one. Is that fair or not?
Yeah, look, it's a very, very dim prospect and low possibility that we're ever going to get into phase four. The PM recently came back from Singapore, you can see. that there's a strong prospect that they'll work with us to avoid that possibility. Of course, we've got Labour and the various other banshees on the other side of the house trying to catastrophise it, but we wanted to show to the business and various other stakeholders that we've been proactive.
OK, the role of what you also announced, which largely got forgotten yesterday, that deal with Marsden and the storage of the diesel, that's real, that's go. What sort of difference will that make?
How does the Government prioritize fuel access during emergencies?
Well, in the event we do strike a dangerous patch, then we've got additional fuel in country that can be made available on a staggered managed basis. So it gives the confidence to the lifeline of the economy, the users of diesel, that it's actually here. But look, I have to stress, at no point have we ever been told by the importers that they're going to violate their statutory obligations. that they are struggling to bring fuel to New Zealand. They do remind us that the price is likely to climb, but we have a good reputation of paying our bills internationally.
How does the current fuel supply situation impact prices?
So what we've worked out out of this so far is that the world has readjusted itself in terms of supply. They've gone to other places. They've got it. The problem to a degree, not ideal, is solved, isn't it?
We chew through about 58 million barrels of oil per year up in the refineries they create about six million barrels even with a bit of degradation per day mate we're between 10 and 14 days worth of supply in terms of the capacity of the refineries that deal with the kiwis so yes there will be the shrill voices people demanding that we reprise and duplicate the recklessness of COVID. We're never ever going to do that.
What reassurances does the government provide regarding fuel security?
We're not going to move people around. We're not going to blight downtown Auckland with these COVID refugees that never ever move.
What measures are in place to ensure fuel supply in New Zealand?
just because people are worried about fuel security when there is really, at this stage, other than price, bugger all to worry about.
Well said.
Appreciate it, Shane Jones, Associate Minister of Energy.
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Chapters
5 chapters
1
What is the Government's updated fuel response plan?
0:00–0:55
2
How does the Government prioritize fuel access during emergencies?
0:55–1:35
3
How does the current fuel supply situation impact prices?
1:35–2:21
4
What reassurances does the government provide regarding fuel security?
2:21–2:28
5
What measures are in place to ensure fuel supply in New Zealand?
2:28–2:46
Speakers
2 identifiedMore from The Mike Hosking Breakfast
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