{"id":452374,"date":"2026-05-30T07:36:13","date_gmt":"2026-05-30T07:36:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/452374\/"},"modified":"2026-05-30T07:36:13","modified_gmt":"2026-05-30T07:36:13","slug":"how-fuel-price-shocks-rattled-a-remote-new-zealand-village","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/452374\/","title":{"rendered":"How Fuel Price Shocks Rattled a Remote New Zealand Village"},"content":{"rendered":"<p class=\"css-ac37hb evys1bk0\">It took just one week for the economic shock wave from the war in Iran to travel about 9,000 miles to Ruatahuna, one of New Zealand\u2019s most remote villages, where life was already tough before fuel prices shot up in March.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cWe were told right there and then to fill everything up because our prices were going up,\u201d said Huirangi Law, 34, who lives in Ruatahuna with her four children.<\/p>\n<p class=\"css-ac37hb evys1bk0\">The village is in Te Urewera, a mountainous rainforest in the ancestral land of the Indigenous Tuhoe people on New Zealand\u2019s North Island. Ruatahuna has no supermarkets or pharmacies and sits more than an hour from nearest towns on narrow, often unpaved roads.<\/p>\n<p class=\"css-ac37hb evys1bk0\">With hardly any public transport, cars are essential and 4x4s are preferred. Fuel is a major household budget item.<\/p>\n<p class=\"css-ac37hb evys1bk0\">So when the Iran war choked the Strait of Hormuz, a major conduit of global energy supplies, New Zealand was particularly vulnerable because it imports all of its refined fuel. The price at the pump of diesel has risen by more than 70 percent, according to <a class=\"css-yywogo\" href=\"https:\/\/hormuz-458b0b.gitlab.io\/\" title=\"\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">government data<\/a>. Gasoline is up almost 30 percent.<\/p>\n<p class=\"css-ac37hb evys1bk0\">In the country\u2019s poorer communities, including Ruatahuna, the consequences have been severe.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Families have cut purchases, including essentials. Many cannot afford long drives anymore so they rely on a once-a-week bus to the nearest town. Others try to do as much as possible in one trip, or car-pool with neighbors and relatives.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Ms. Law said the rising fuel prices had opened up \u201canother world of poverty\u201d for her family.<\/p>\n<p class=\"css-ac37hb evys1bk0\">It now costs around 165 New Zealand dollars, or $97 \u2014 roughly double from before the war \u2014 to fill the tank in Ms. Law\u2019s diesel S.U.V. She has Type 1 diabetes and needs to regularly visit a specialist in the city of Rotorua, almost two hours away. She used to make that trip every week, but can now afford it only once a month.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cEverything\u2019s got to be crammed into the one visit into town,\u201d she said.<\/p>\n<p class=\"css-ac37hb evys1bk0\">New Zealand has continued to receive a steady supply of fuel but at a higher price. That is being passed on to retailers and buyers throughout the country, said Kelly Eckhold, the chief economist at Westpac New Zealand, one of the major banks in the country.<\/p>\n<p class=\"css-ac37hb evys1bk0\">People in New Zealand spent about 15 percent more on fuel in March compared with February, Mr. Eckhold said, and they cut back on clothing, restaurants and travel. In rural communities, he added, the increased fuel costs likely cut into essential spending.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Dokes Hekerangi, 57, who lives down the road from Ms. Law in Ruatahuna, is semiretired and needs to feed a large family. The economic effects of the war have left him with almost no financial cushion.<\/p>\n<p class=\"css-ac37hb evys1bk0\">In April, as diesel prices rose sharply, Mr. Hekerangi switched to a gasoline vehicle. Still, he expects his fuel expenditure this year to more than double last year\u2019s. Last month, buying five gallons of fuel used up two-thirds of his daily income.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cThe difficulty for us is prioritizing what\u2019s more important,\u201d he said: \u201cIs it power, is it fuel, is it food, is it warmth?\u201d<\/p>\n<p class=\"css-ac37hb evys1bk0\">For a recent meal, his youngest daughter, Miakirau, 8, ate canned vegetarian meatballs bought on clearance. That day, Mr. Hekerangi grabbed an egg to make a cake with overripe bananas, one of the few bits of produce his family could afford on their last trip to town.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Mr. Hekerangi said that he and his brother coordinated shopping trips and pooled errands across their households. A cousin sometimes shops on his behalf.<\/p>\n<p class=\"css-ac37hb evys1bk0\">For some, the soaring fuel costs have made driving impossible. They rely on a public bus that runs every Friday, leaving the village at about 8:30 a.m. and returning in the afternoon.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Renee Hekerangi, Mr. Hekerangi\u2019s wife, drives two hours on a winding, bumpy road to her job as a health care assistant in a nearby town. She said some patients cannot afford the fuel to drive to the clinic anymore, and that she picks them up herself and collects their medications.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Rising fuel costs are also threatening livelihoods in the area. Brenda Tahi, the chief executive of Manawa Honey, said she was worried about the viability of the packing facility at her apiary, which is powered by a diesel generator.<\/p>\n<p class=\"css-ac37hb evys1bk0\">She recently hired Serena Whitu, who commutes from the nearby town of Minginui, as a sales and production assistant. But within a month, Ms. Whitu found that her journey \u2014 an hour each way \u2014 was financially unsustainable.<\/p>\n<p class=\"css-ac37hb evys1bk0\">\u201cI pay more for gas than what I spend on shopping,\u201d said Ms. Whitu, 46.<\/p>\n<p class=\"css-ac37hb evys1bk0\">She is one of many people in Ruatahuna who are wondering how much longer they can cope with the economic crisis.<\/p>\n<p class=\"css-ac37hb evys1bk0\">Ms. Law said it was hard enough living with Type 1 diabetes before fuel prices spiked. Now, she said, \u201cIt\u2019s a little bit more to think about.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"It took just one week for the economic shock wave from the war in Iran to travel about&hellip;\n","protected":false},"author":2,"featured_media":452375,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[138,211218,209402,111,139,69,211216,209401,230157,56476],"class_list":["post-452374","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-cost-of-living-and-affordability","tag-fees-and-rates","tag-new-zealand","tag-newzealand","tag-nz","tag-oil-petroleum-and-gasoline","tag-prices-fares","tag-rotorua-new-zealand","tag-rural-areas"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/452374","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=452374"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/452374\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/452375"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=452374"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=452374"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=452374"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}