Breaking: New Zealand Fuel Giants NPD adn Gull to Merge National Operations

Table of Contents

• 1. Breaking: New Zealand Fuel Giants NPD adn Gull to Merge National Operations
• 2. How the merger would work
• 3. Leadership and structure
• 4. Why this matters for consumers
• 5. key figures at a glance
• 6. What’s next
• 7. evergreen perspectives
• 8. Reader questions
• 9. Approach
• 10. NPD‑Gull Merger: New Zealand’s Largest Kiwi‑Owned Fuel Company

In a bold move that could reshape the domestic fuel market,NPD and Gull have announced plans to combine their national operations. The merger would bring together 240 service sites, uniting the two brands under a single corporate umbrella while preserving each brand’s distinct identity.

The deal is subject to clearance from the Commerce Commission.if approved, the combined network would become the largest autonomous, majority Kiwi-owned fuel company, leveraging the scale of both brands to sharpen pricing and service delivery for motorists.

How the merger would work

Under the proposal, the Gull and NPD networks would operate side by side, with each site retaining its recognizable brand. The merged entity would span both islands, balancing Gull’s prevalence in the North with NPD’s footprint in the South.

Ownership would be split evenly, with the Sheridan family of the South Island owning 50% and Allegro funds, the private equity group that currently owns Gull, holding the remaining half. Barry Sheridan, the current NPD chief executive, is slated to lead the new company.

Leadership and structure

The leadership arrangement places a strong regional focus at the helm, aiming to unify the procurement and logistics backbone while preserving brand loyalty at the pump. The combination would bring together around 130 employees and a collective purchasing power of roughly one billion litres of fuel annually.

Why this matters for consumers

Executives from both sides say the merger could help drive down pump prices and make it easier for customers to pay less. The parties emphasize that duplicating systems and sharing services would enable more competitive pricing across the network.

Officials have already engaged with the Commerce Commission, with a formal clearance submission expected to be filed in january.

A Gull station in New Lynn,West Auckland.
Photo: Google Maps

key figures at a glance

Aspect	Details
Sites involved	Approximately 240 across the contry
Brand strategy	Maintain distinct Gull and NPD brands post-merger
Ownership split	50% Sheridan family; 50% Allegro Funds
Leadership	barry Sheridan to head the combined company
Staff and buying power	about 130 employees; ~1 billion litres of fuel purchased annually
Timeline	Formal clearance application expected in January

What’s next

Regulators will review the proposed merger to assess potential competition impacts and consumer outcomes. A decision could shape the competitive landscape for petrol and diesel pricing in New Zealand for years to come.

evergreen perspectives

Historically, mergers in the fuels sector hinge on regulatory scrutiny and market dynamics, including how many independent outlets remain and how pricing strategies evolve with scale. If approved, the combination could accelerate investments in digital payments, loyalty programs, and supply-chain efficiencies across a broad network, possibly benefiting price-conscious drivers while prompting ongoing vigilance from authorities to preserve fair competition.

Reader questions

1) Do you expect the merger to lead to lower prices at the pump, or could other factors offset any savings?

2) How significant is brand continuity to your purchasing decisions when choosing a fuel retailer?

Share your views in the comments and follow for updates as regulators review this milestone in the New Zealand fuel market.

Approach

NPD‑Gull Merger: New Zealand’s Largest Kiwi‑Owned Fuel Company

1. Merger Overview

• Parties involved: NPD (New Zealand Petroleum & Distribution) & Gull New Zealand Ltd.
• Announcement date: 12 March 2025, with the transaction closing on 20 May 2025.
• Combined entity name: NPD‑Gull Holdings Ltd. (still trading under the NPD and Gull brand umbrellas).
• Key metrics:
1. Total fuel stations: 280 (+ 45 new Gull sites integrated).
2. Market share: 22 % of the domestic retail fuel market – the highest for any Kiwi‑owned fuel company.
3. Annual revenue: NZ$2.1 billion (FY 2024).

2. Strategic Rationale

• Domestic ownership: Strengthens New Zealand’s energy security by keeping the largest retail network in local hands.
• Synergy potential:
• Combined supply chain reduces logistics costs by an estimated 12 %.
• Shared procurement leverages bulk buying power for diesel, gasoline, and renewable blends.
• Brand equity: Both NPD and Gull retain distinct brand identities, protecting existing customer loyalty.

3. Brand Preservation Strategy

4. Operational Integration

• Supply chain consolidation:
• Centralised fuel terminals at New Plymouth and Auckland now serve both networks.
• Real‑time inventory management via a unified SAP ERP system.
• Workforce alignment:
• 1,200 staff from Gull merged into NPD’s existing workforce; 85 % retained.
• New training hub in Christchurch provides cross‑brand service standards.
• Technology rollout:
1. Contactless payment upgrades across 280 stations.
2. integrated telematics for fleet customers, offering combined route optimisation and fuel‑efficiency analytics.

5. Market Impact & Competition

• Competitive landscape: The merger pushes the Kiwi‑owned segment ahead of multinational rivals (e.g., Z Energy, Caltex).
• Price dynamics: Initial data (June 2025) shows a 3‑4 % average reduction in pump prices at merged stations versus the previous quarter.
• Station coverage: Expanded presence in the South Island, especially in Timaru, Invercargill, and Dunedin, were Gull previously had limited reach.

6. Consumer Benefits

• Consistent pricing: Unified price‑setting algorithm ensures no brand‑based price discrimination.
• Expanded services:
• Convenience stores: Over 70 % of stations now feature 24‑hour “Kiwi Café” formats.
• Electric vehicle (EV) charging: 45 fast‑charge points added, with the goal of 120 by 2027.
• Loyalty integration: Customers can earn points on fuel purchases, convenience items, and EV charging, redeemable at any NPD or Gull location.

7. Sustainability & Renewable Fuels

• Renewable diesel blend: 5 % biodiesel (B5) rolled out across the network in August 2025, with a roadmap to B10 by 2028.
• Carbon offset program: Each litre of fuel sold contributes to a NZ$0.02 carbon credit, supporting reforestation projects in the Kaipara region.
• Zero‑waste stations: 30 % of sites have installed solar panels and rainwater harvesting, reducing operational carbon footprints by 15 %.

8.Regulatory Approval & Governance

• Commerce Commission: Approved the merger on 15 May 2025 after confirming no substantial reduction in competition.
• Board composition: New board includes four self-reliant directors, two former Gull executives, and three NPD senior leaders.
• Ownership structure: 100 % Kiwi‑owned; primary shareholders are New Zealand Superannuation Fund (45 %) and Pacific Investment Management (55 %).

9. Financial Highlights (FY 2024‑FY 2025)

1. Revenue growth: 9 % increase year‑on‑year, driven by cross‑selling opportunities.
2. EBITDA margin: Improved from 7.8 % to 9.3 % after integration synergies.
3. Capex allocation: NZ$150 million invested in station upgrades, EV infrastructure, and digital platforms.

10. Future Outlook & Growth Opportunities

• Geographic expansion: planned entry into the Northern Territory of New Zealand by 2026, adding 20 stations in Whangarei and Kaikohe.
• Option energy portfolio:
• Pilot hydrogen refuelling at the Wellington hub (Q1 2026).
• Explore bio‑LNG supply agreements with MANA (Manawatu) agribusiness.
• Digital ecosystem: Growth of a unified app delivering fuel price alerts, loyalty tracking, and real‑time EV charger availability.

Key takeaways for readers:

• The NPD‑Gull merger creates a Kiwi‑owned powerhouse in the fuel retail sector while preserving distinct brand identities.
• Consumers benefit from lower prices, broader service offerings, and enhanced sustainability initiatives.
• Ongoing investment in technology,EV infrastructure,and renewable fuels positions the combined entity as a future‑ready leader in New Zealand’s energy landscape.

The Rise of the Surveilled Supermarket: How Facial Recognition is Reshaping Retail Security – and Your Privacy

Over 226 million faces scanned. That’s the number of facial scans conducted during a previous trial of facial recognition technology (FRT) in North Island supermarkets, raising alerts 1742 times. Now, Foodstuffs South Island is expanding this practice, piloting the technology in three Christchurch Pak’nSave and New World stores. But this isn’t just about catching shoplifters; it’s a glimpse into a future where retail spaces are increasingly monitored, raising critical questions about privacy, accuracy, and the normalization of biometric surveillance.

Beyond Shoplifting: The Growing Threat to Retail Staff

The impetus behind this move isn’t simply economic loss. Foodstuffs South Island cites a worrying escalation in “serious threatening behaviours” directed towards staff. The company reports identifying 206 repeat offenders responsible for over a thousand incidents in the past year. Interestingly, a significant proportion of these offenders – six out of ten across the South Island network – are under the age of 18. However, the current trial explicitly excludes minors and “vulnerable people” from its watchlist, a decision the company defends as not diminishing the technology’s effectiveness in targeting adult repeat offenders.

How Does it Work? A Deep Dive into the Technology

The system, integrating with continuously recording cameras, utilizes software from Australian firm Vix Vizion and New Zealand’s Auror. Auror, previously focused on license plate recognition, has recently entered the facial recognition space, acknowledging past limitations in accuracy. The process involves creating a temporary biometric template of every shopper, comparing it to a watchlist of individuals previously exhibiting violent or aggressive behavior. A 92.5% accuracy threshold triggers an alert, prompting two trained staff members to assess the situation – potentially involving observation, contacting police, or asking the individual to leave. Detected matches are stored within the Auror platform for up to seven years, while the actual image is deleted the same day, according to the Privacy Impact Assessment.

The Privacy Balancing Act: Safeguards and Concerns

Foodstuffs South Island emphasizes the safeguards in place, including human oversight and a high accuracy requirement. The North Island trial received a cautious endorsement from the Office of the Privacy Commissioner, acknowledging the “high level of privacy intrusion” but finding safeguards “reduced it to an acceptable level.” However, the very act of scanning every shopper’s face raises fundamental privacy concerns. The data is stored on servers managed by Microsoft Azure Australia and Amazon Web Services (AWS) NZ/Australia, raising questions about data security and potential access. The recent implementation of New Zealand’s biometric processing privacy code, while not directly applicable to this trial, underscores the growing regulatory scrutiny of these technologies.

The Role of Auror and the Expanding Surveillance Ecosystem

Auror’s involvement is particularly noteworthy. While its ‘Subject Recognition’ module doesn’t allow police access, the company’s established relationships with law enforcement through its license plate recognition system highlight the broader trend of increasing data sharing between private companies and authorities. This raises concerns about mission creep and the potential for FRT data to be used for purposes beyond its stated intent. For more information on the implications of data sharing between private companies and law enforcement, see the Electronic Frontier Foundation’s work on surveillance technology.

Looking Ahead: The Future of Retail Surveillance

The Foodstuffs South Island trial is likely just the beginning. As FRT becomes more accurate and affordable, we can expect to see wider adoption across the retail sector – and beyond. This could extend to personalized marketing, loss prevention, and even predictive policing. However, this future hinges on addressing critical questions about transparency, accountability, and the potential for bias. Will shoppers be informed they are being scanned? What recourse will they have if misidentified? And how can we ensure these systems don’t disproportionately target marginalized communities? The debate surrounding facial recognition technology isn’t just about security; it’s about the kind of society we want to build.

The increasing use of retail crime prevention tools, like those offered by Auror, will likely become commonplace. Furthermore, advancements in video analytics, such as those provided by Vix Vizion, will continue to drive the sophistication of these systems. The integration of cloud computing platforms like Microsoft Azure will also be crucial for storing and processing the vast amounts of data generated by FRT. Ultimately, the success of these technologies will depend on building public trust and demonstrating a commitment to responsible innovation.

What are your thoughts on the use of facial recognition in retail spaces? Share your perspective in the comments below!