Fuel security

The conflict in the Middle East is adding pressure to global fuel markets. Disruption to major shipping routes can cause longer voyages, delays in vessel movement, and shifts in supply patterns. These factors may place upward pressure on global prices, which New Zealand can be exposed to as an importing nation.

Higher prices are flowing through to fuel costs in New Zealand.

At this stage, we are not experiencing the types of sustained, direct supply impacts that would affect everyday access to fuel in New Zealand. Monitoring and planning are underway to ensure we are ready for any changes in international conditions.

Weekly fuel price monitoring

Based on regular updates from fuel companies and agencies across the energy system, New Zealand remains in a strong position. Fuel continues to flow normally into the country, and importers are actively managing their supply chains.

New Zealand maintains domestic fuel security through strong commercial stockholdings managed by industry.

From 1 January 2025, fuel importers must hold minimum levels of fuel, either onshore or in our exclusive economic zone (EEZ). Fuel importers must hold:  

• 28 days’ cover of petrol
• 21 days’ cover of diesel
• 24 days’ cover of jet fuel.

Working with international partners

New Zealand is a member country of the International Energy Agency (IEA). Membership of the IEA acts as “insurance” against disruption to international energy supplies.

The IEA is monitoring developments in the region and may intervene through collective actions like coordinating the release of strategic oil reserves by their member states.

On 11 March 2026, the IEA agreed to undertake a collective action releasing 400 million barrels of oil to help stabilise global supply. This release will support refinery access to crude oil and reduce pressure caused by the Middle East conflict.

New Zealand has confirmed it will fulfil its obligations for this collective action by releasing oil tickets.

Fuel specifications

Fuel specifications set the minimum technical and environmental requirements that petrol, diesel and other transport fuels must meet before they can be supplied in New Zealand. Each country has its own fuel specifications.

The Government is temporarily aligning New Zealand’s fuel specifications with Australia’s to improve access to different fuel markets. This change allows fuel refined to Australian standards to be supplied in New Zealand, giving importers access to a wider range of shipments and reducing the risk of supply disruptions caused by minor technical differences.

Australian spec fuel is compatible with New Zealand vehicles and meets safety and quality requirements. New Zealand will not, at this stage, relax sulphur limits as Australia has done, but this remains under review if further supply flexibility is needed.

The measure is time limited, focused on maintaining supply resilience, and could remain in place for up to 12 months while global fuel markets remain uncertain.

Government widens fuel supply options(external link) — Beehive.govt

Staying informed

We will continue to provide updates as the situation evolves. If a change in New Zealand’s fuel supply outlook occurs, this will be communicated clearly together with information on what it means for New Zealanders.

Petrol and diesel prices are expected to stay high and may continue to rise in the coming weeks due to global pressures.

Higher fuel costs can affect day-to-day expenses, transport, and travel. Businesses should take some time to consider how these costs affect their operations and plan in ways that make sense for them.

There is no one-size-fits-all response. What matters is thinking ahead and making practical choices that work for your business, your people, and your customers – rather than having to react later.

New Zealand has successfully managed international fuel disruptions before. With strong planning, close coordination across the system, and ongoing international partnerships, we are well placed to respond if global conditions deteriorate.