The New South Wales (NSW) state government signalled it would "consider intervention if necessary" to supply fuels to areas of NSW with limited access to fuel.
NSW energy minister Penny Sharpe hosted a roundtable with leaders from transport and logistics, fuel, agriculture, local government, mining, unions and consumer protection groups on 16 March. The Federal Government is responsible for Australia's fuel supply and has advised that national fuel stocks remain secure, but the roundtable participants agreed to prioritise immediate actions to address local distribution issues and limit price impacts.
"While participants today expressed a commitment to work together to resolve these issues, the NSW government was clear we will intervene if necessary," Sharpe said in a press statement.
The supply of gasoil to bulk fuel users and some petrol stations was noted as a key concern, especially the impact on farmers due to the upcoming winter sowing season, when fuel and fertilizer demand is highest across regional NSW. Australia had 30 days' worth of stocks of gasoil at the normal rate of consumption as of 10 March, the latest Department of Climate Change, Energy, the Environment and Water (DCCEEW) statistics for the Minimum Stockholding Obligation (MSO) show.
Other states in Australia have made moves to boost supply of critical commodities to regional areas as well. The Fuel Industry Operations Group in Western Australia (WA) announced road trains are now permitted to carry an additional 10t of gasoline, gasoil or fertilizer to certain priority regions in WA from 16 March.
The government is "not talking about fuel rationing because the supply of fuel is not the problem", Australia's assistant minister for climate change and energy Josh Wilson said. "It is localised shortages and supply chain issues […] We've seen demand spike in some parts by more than 100pc," he added.
