Australia has moved to strengthen its fuel reserves, with Prime Minister Anthony Albanese confirming the government has backed the purchase of 100 million litres of diesel under newly introduced emergency powers.
The legislation allows private fuel companies to continue importing supply, while the federal government absorbs the financial risk of shipments that may otherwise be considered too costly.
Two diesel shipments, totalling around 570,000 barrels, have been secured from Brunei and South Korea.
Albanese described the move as a first step in a broader strategy, stating, “This is the first of many expected shipments secured under the government’s new strategic reserve powers.”
He linked the decision directly to instability in global energy markets, adding the Middle East conflict has created “unprecedented energy supply shocks right across the globe.”
The announcement comes amid concerns over domestic supply following a fire at the Viva Energy refinery in Geelong. Albanese called the incident “distressing,” warning there would “clearly” be consequences for fuel availability, but said efforts were underway to restore operations quickly.
He also reinforced regional cooperation, noting new agreements with Malaysia and other Asian partners to maintain stable energy and trade flows.
Image credit: Engin Akyurt
