Six fuel tankers bound for Australia have been cancelled or deferred, as the fallout from the Middle East conflict disrupts global supply chains.
Energy Minister Chris Bowen said the changes affected a small portion of shipments, with about 81 ships expected between mid-April and mid-May.
“Some of those have already been replaced by the importers and refiners with other sources,” Bowen told ABC Insiders.
“That gives us some context of what we are dealing with, that’s not to say it isn’t a very challenged environment internationally, and of course the flow of oil to Asian refineries has slowed, and that has downward impacts on us.”
Bowen said Australians should expect “bumps” in supply rather than a sudden stop, with shipments continuing to arrive and companies working to secure alternatives.
“We still have two refineries working full pelt … and we also have the boats continuing to arrive, and the refiners and importers working very closely with government to replace those six being cancelled or deferred,” he said.
Bowen also stressed Australia remains “a long way” from any need for fuel rationing, despite contingency plans being in place if the conflict drags on.
“There’s a process in place, I have had a meeting with state and territory governments, who have strong powers … we are not contemplating at this point needing to use any of those powers,” he said.
Despite reassurances from the government, disruptions to fuel supply are already being felt, with prices rising and some stations running dry. Credit: Sunrise
Bowen said further disruptions to shipments remain possible, while stressing recent shortages in some areas have been driven by a surge in demand rather than a collapse in supply.
Australia still holds 38 days of fuel in reserve, with ongoing deliveries continuing to replenish stocks.