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Govt Has Head In The Sand Over Fuel Supply

29 August 2002

Govt Has Head In The Sand Over Fuel Supply

Claims by Energy Minister Pete Hodgson that New Zealand has 110 days of fuel supply are based on two-year-old figures says National Energy Spokesperson Gerry Brownlee.

"New Zealand is heading into volatile conditions with crude storage capacity of only 70 days, and that is only if our tanks are full - often they are not at full capacity.

"We are on the end of a five week fuel supply line at the best of times. Any disruption to oil production would markedly extend that supply time.

"The United States is encouraging its European allies to stock pile fuel resources and is filling up its strategic petroleum reserve of 700m barrels, forcing the price above $30 a barrel in recent days.

Mr Brownlee called on the Minister to tell New Zealand how he has audited our reserve and what measures he will take to enhance our reserve.

"It is patently clear that the United States is planning invasion of Iraq and given this possibility the Minister must take steps to ensure the continuity of our fuel supply," Mr Brownlee said.

Ends

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