WELLINGTON, April 28 (Xinhua) -- New Zealand has secured an additional 90 million liters of diesel, equivalent to about nine days of national demand amid global fuel market uncertainty.
This is part of efforts to "boost New Zealand's fuel reserves and help shield the country from the global oil shock," said a government statement released Tuesday.
The fuel would be procured under an agreement with fuel retailer Z Energy following a contestable procurement process and will be imported and stored at Marsden Point in Northland of the country, Finance Minister Nicola Willis was quoted as saying.
"It strengthens both our fuel and economic buffers and reduces the potential impacts of international supply disruptions from the ongoing conflict in the Middle East," Willis said.
Associate Energy Minister Shane Jones said the reserve will sit outside existing minimum stockholding requirements for fuel companies, with the government retaining control over its release into the domestic market.
In March, the government agreed on a strategy to strengthen fuel supply resilience, including seeking commercial proposals from fuel importers.
"We have prioritized securing additional diesel because it is the fuel that drives the economy," Willis said. ■
