Marsden Point making switch to import-only

Refining NZ shareholders have voted overwhelmingly to switch Marsden Point to an import-only fuel terminal from mid next year, signalling the loss of hundreds of jobs at Marsden Point.

The change will mean the Marsden Point operation will no longer process crude oil, and all of the country’s fuel and petrol supplies will be imported from Asia.

The number of employees at the site is expected to drop from 300 to 60 over the next couple of years, with hundreds of contracting jobs also likely to be cut.

Speaking to shareholders at a meeting in Auckland yesterday, Refining NZ chief executive Naomi James said there was no reason to believe the move would make the country more vulnerable to fuel insecurity.

New Zealand could source fuel from a range of refineries in a range of countries, she said.

Refining NZ chairman Simon Allen told shareholders yesterday the strategic review had made clear the business could not continue as normal. After 60 years of operations, change was unsettling, he said.

“Throughout this process, we have always maintained that our priorities were to realise full value for the company’s assets and deliver more sustainable returns ‘through the cycle’, and to support our workforce, and the wider community through what will be a significant change to the company’s operations.”

A spokesperson for the Ministry of Business, Innovation and Employment (MBIE) earlier said it was preparing advice for the energy minister on the implications of the decision, although the advice it had received suggested the move to an import terminal was not a major risk to fuel security.

RNZ