Oil Pollution Levy

The Oil Pollution Levy is collected from industry to run New Zealand’s maritime oil pollution preparedness and response system.

Oil Pollution Levy overview 

The Oil Pollution Levy (the OPL) applies to all commercial vessels over 100 gross tons and more than 24 metres in length (except those operating in fresh water), offshore oil installations, exploration wells and oil pipelines. 

The Oil Pollution Levies Order 2024 came into force on 1 July 2024 setting the OPL. 

Preparedness and response services in New Zealand 

New Zealand has implemented a three-tiered approach to marine oil spill preparedness and response.  

A Tier 1 oil spill response is managed and funded by individual operators (the spiller).  

Tier 2 is managed by the regional councils and unitary authorities. Each council maintains trained oil spill response teams, equipment and a regional response plan. 

If the spill is beyond the local response team’s ability to manage, regional resources are insufficient, or where the costs are likely to be significant, a Tier 3 - or national level - response may be called. A Tier 3 spill is controlled by a National On-Scene Commander who has extensive statutory powers. New Zealand can also call on international resources if needed. 

The Oil Pollution Advisory Committee (OPAC) is a statutory committee appointed by the Minister of Transport under Section 282 of the Maritime Transport Act (1994). The key functions of OPAC are to advise Maritime NZ on: 

  • the New Zealand Oil Spill Response Strategy

  • the fixing and levying of the OPL

  • the use of the Oil Pollution Fund 

  • any other matters as set out in the Maritime Transport Act. 

Funding of preparedness and response services 

The Maritime Transport Act requires Maritime NZ to establish and administer an Oil Pollution Fund (the Fund). The Fund is required to cover the: 

  • costs of the Oil Pollution Advisory Committee 

  • purchase of equipment or anything else required to implement, or assist in implementing a response to marine oil spills 

  • reasonable costs Maritime NZ or a regional council incurs in investigating a suspected marine oil spill, and in controlling, dispersing and cleaning up any marine oil spill 

  • costs of services associated with planning and responding to marine oil spills, that are services provided for under a contract 

  • costs to Maritime NZ or a regional council of taking measures to avoid marine oil spills. 

The premise of oil pollution preparedness and response is that the potential polluter pays. In circumstances when the polluter is not identified, the Fund is used to pay expenses from reserves set aside for that purpose. 

Enabling regulation 

View the current Oil Pollution Levy rates that apply to New Zealand and Foreign vessels.