Still the storm lingers  

Fuel resilience  

Last week I shared a story about the pipeline infrastructure upgrade between the fuel tanker vessel berth and bulk storage depots in Seaview, Wellington. It felt great sharing some positivity about our fuel supply.  

However, to demonstrate what a crazy world we’re living in I thought I’d share a few snippets from our fuel supplier friends at Waitomo Group, who routinely share an incredible and insightful report on the situation.     

• The International Maritime Organization (IMO) recorded 113 incidents in the region from 1 to 14 October, with 24 seafarers tragically killed. 

• Hormuz transits fell to 19 ships on 19 October, with no supertankers for the first time since 2 August. 

• Tanker attacks in the week to 18 October were the highest weekly count of the war. 

• Houthi strikes have turned to Saudi export infrastructure, and Middle East crude exports have fallen to 11.9 million barrels a day (mb/d) from 15 mb/d in September. 

This week MBIE re-instigated its briefings to Fuel User Group, of which we are a member and fuel suppliers have given government officials confidence that supplies scheduled to land on our shores over the next few months are secure. I have no reason to doubt that advice, and I don’t. That said, we’re still a long way out of the woods, and to hear that 24 seafarers have lost their lives is a stark and shocking reminder of how tragic the situation is. 

Changing behaviours         

As I’ve mentioned many times over the last couple of years, two themes that underpin many of our discussions with NZTA are: a) the subtle but important difference between a risk-based approach and a compliance approach; and b) thinking more commercially. By the latter, I mean taking into consideration how the road network and decisions around it impact our country’s economy. 

This can show up in many ways, including decision-making around detours, enabling optimum productivity from the network, and achieving value for money in road maintenance and construction.     

It was therefore good to read RNZ report this week that Prime Minister Luxon had a “coaching conversation” with NZTA boss Brett Gliddon over the costs and timeframe for the 16km four lane Cambridge to Piarere Expressway. The PM added that NZTA had improved its value for money over the past three years and that it was important to challenge NZTA on behalf of taxpayers because NZ was in the top 10 percent of countries for infrastructure spend. The project is set to take five years and cost $1.8b. The PM has challenged NZTA to do it in 18 months because the Israelis and Canadians are capable of it. Make of that what you will!   

Almost at the opposite end of the scale, but in similar vein, we’ve challenged NZTA over its requirement for overlength permits for any 50MAX combination that also operates at higher permitted HPMV weights. The dimensional spacings are specifically stated on the higher HPMV Weight Permit, which manages the risk to bridges and therefore that makes the overlength permit completely unnecessary.

Granted it generates NZTA some revenue but in our view it’s another unnecessary business compliance cost and waste of time. Given the PM’s coaching, it’ll be interesting to see how far down that kind of thinking filters at NZTA.  

We always want to make the most of opportunities, so a shout-out to Associate Minister Meager, who appears to have taken our advice at the 11^th hour and included a review of individual axle and axle group mass limits. This change appears to have been brought forward rather than waiting until Phase 4.  

More great events  

Following on from our Transport Decarbonisation Update in Auckland, over the last fortnight or so we’ve had events in Hamilton co-hosted at J Swap, one in Christchurch at One Stadium, a member networking event in the Taupo Cossie Club, and Breakfast with Jim and a raft of political party representatives in Timaru. I’ve received lots of feedback on how great the events have been so thanks to all that were involved in making them happen and to all those that attended.  

Our next major events are the Sector Group Summit and our AGM in Christchurch on 6 November. For the latter, you need to be registered, and you can do that here.