Treasurer Jim Chalmers sought to reassure Australians on Wednesday that the US-Israeli conflict with Iran would not lead to fuel shortages, despite reports of panic buying at service stations. The comments came after Costco outlets reported running out of petrol and long queues formed at other stations amid fears of price rises.
Energy Minister Chris Bowen on Tuesday urged calm, stating that panic buying would only worsen the situation, reminiscent of the toilet paper shortages during the Covid-19 pandemic. Bowen emphasised that while challenges exist, there is no need for alarm.
Australia maintains a strategic reserve of petroleum products, though officials have not disclosed exact figures. The reserve includes fuel in transit shipments, which some analysts argue may overstate the amount readily available. The nation's refining capacity has declined in recent years, with fewer local refineries operating.
Despite these concerns, the government insists the reserve is sufficient to meet demand during the current crisis. The exact duration the reserve could last without new imports remains unclear, but officials stress there is no immediate risk of running out.
