Diesel doubles in price, overtakes 91 in parts of NZ amid supply fears

Diesel prices are now overtaking 91 octane petrol in parts of New Zealand, as motorists and the primary sector face growing concerns over supply.

Fuel price app Gaspy reports the average cost of a litre of diesel has surged to $3.29, up 96 per cent or $1.61 in the past 28 days. By comparison, 91 octane sits at $3.39 per litre, up 42 per cent, while 95 octane has jumped the same percentage to $3.60 per litre.

However in some regions, including parts of Auckland, Ohakune and Levin, diesel is now as expensive—or even more costly—than 91 octane.

The Ministry of Business, Innovation and Employment (MBIE) issued an unscheduled fuel data update yesterday, revealing New Zealand could have just 11.3 days of diesel supply by Easter if current consumption continues. The update accounted for fuel stocks while tankers are unloading, a factor previously excluded.

There are currently two fuel shipments bound for New Zealand, yet only one is carrying diesel, with MBIE estimating it will add the equivalent of 7.2 days’ supply between 30 March and 5 April.

The potential shortfall was highlighted by Infometrics chief executive Brad Olsen, who noted the country currently has around 18.1 days’ worth of diesel on hand.

He warned the situation is becoming increasingly concerning, particularly given diesel’s critical role across key sectors like freight, agriculture, and construction.

“That crunch on diesel seems to be coming closer, quicker, and starts to become worrying given the importance of diesel to the productive economy,” Olsen said.

“Businesses are needing a stronger level of direction from the Government over whether their services are still going to be needed and whether they need to change those operations."

MBIE emphasised that New Zealand has proven arrangements for managing supply disruptions and said current conditions do not yet justify emergency measures under the National Fuel Plan.

Prime Minister Christopher Luxon confirmed a plan to manage fuel supplies will be announced on Friday.