In brief
Prime Minister Anthony Albanese has reassured Australians about the stability of the country's fuel supply in the face of panic buying, rising prices, and reports of petrol stations running dry amid the ongoing Iran war. Despite reports of shortages stemming from demand changes rather than actual supply issues, customers are advised to prepare for continued price increases. A national cabinet meeting is anticipated to address the crisis, while the government seeks to mitigate supply challenges by releasing oil from national reserves.
Prime Minister Anthony Albanese has sought to reassure Australians that the country's fuel supply remains secure as prices soar and following reports of panic buying and petrol stations running dry since the start of the Iran war.
The longer this war goes on, the greater the impact will be. But we continue to act to prepare and shield Australians from the worst of it, Albanese told reporters on Friday.
Reports indicate that truck drivers and motorists are being stranded, and businesses are experiencing rising costs that threaten their viability. The government attributes the shortages to heightened demand and distribution issues rather than a decline in supply levels.
Energy Minister Chris Bowen emphasized that for the next few weeks, Australia's petrol, diesel, and oil supply would remain stable, if not higher than usual.
In Cairns, independent petrol stations convey the struggle as they run out of unleaded fuel and face skyrocketing diesel prices—85% higher than before the Iran conflict. New South Wales reports that one in seven retailers is out of at least one fuel type.
Prices surged following the US and Israel's actions against Iran, exacerbated by the closure of the Strait of Hormuz, leading to petrol prices spiking to 238 Australian cents per litre, up from 171 cents weeks earlier.
With reports of fuel collectors filling jerry cans for storage, the National Roads and Motorists' Association noted heightened consumer behavior is influencing shortages. The government has ruled out rationing, instead opting to release oil from reserves and relax fuel standards.
An emergency national cabinet meeting is anticipated on Monday to strategize on managing the fuel crisis, further complicated by recent cyclones affecting liquid natural gas supplies.
