The Coalition has unveiled a plan to more than double Australia’s fuel reserves, promising a major expansion of storage capacity as concerns over supply security continue.
Under the proposal, the country’s minimum fuel reserves would be increased from around 30 days to 60 days, alongside the creation of an $800 million Australian Fuel Security Facility to deliver at least one billion litres of additional storage.
Opposition Leader Angus Taylor said the plan was aimed at protecting the country from future supply shocks.
“If fuel stops, Australia stops. It’s that simple. Trucks don’t move, supermarkets don’t stock, businesses shut their doors,” he said.
“We are putting forward a practical plan to make sure that never happens. More fuel in reserve, more storage on the ground, and a country that can stand on its own two feet.”
The proposal would lift the Minimum Stockholding Obligation, requiring industry to hold larger reserves of petrol, diesel and jet fuel over time.
Nationals leader Matt Canavan said the plan would reduce reliance on overseas supply chains.
“This plan is just common sense. Keep more fuel here in Australia so we are not relying on overseas supply lines that can be cut overnight,” he said.
Shadow Minister for Energy Dan Tehan said the policy built on measures introduced under the previous Coalition government.
“The Coalition understands that fuel security is national security. In government, we legislated the Minimum Stockholding Obligation, funded new fuel storage, and backed our refineries,” he said.
The announcement comes amid ongoing concerns about fuel supply vulnerability, particularly in regional areas where shortages and price spikes have been more pronounced.
Member for Parkes Jamie Chaffey said the current situation had highlighted gaps across inland NSW.
“This crisis has exposed Australia’s vulnerability to global supply shocks of critical liquid fuels, including in the electorate of Parkes, from Narrabri to Broken Hill, and Lightning Ridge to Parkes,” he said.
“The Coalition’s fuel security package will more than double our fuel reserves and deliver a new wave of vital storage projects. It’s about locking in our long-term resilience.”
The Coalition is calling on the federal government to adopt the plan, including committing to an increase in minimum fuel thresholds from January 2027.
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