The Australian government has considered plans for retail fuel rationing as a 'worst-case scenario' during the fuel crisis, documents obtained by Guardian Australia reveal. The International Energy Agency (IEA) warned on Friday that oil markets would enter the 'red zone' by August as stocks dwindle amid an export shortage from the Middle East.
Documents from the Department of Climate Change, Energy, the Environment and Water (DCCEEW) show that one option available to the government to address a local fuel supply shortage would be to impose a 'maximum transaction value per vehicle per day' — a rationing rule limiting how much fuel a single vehicle can buy at a service station over 24 hours. The documents span from 21 February to 17 March, covering the early part of the Iran war after US-Israel strikes on Iran began on 28 February.
Rationing has not been needed, and the government has said it does not expect it to be required. However, the IEA warned on Friday that oil markets will enter the 'red zone' by August. Under the Liquid Fuels Emergency Act, federal energy minister Chris Bowen can declare a liquid fuel emergency (LFE), with powers including directing fuel supply and even rationing in extreme examples. Bowen previously ruled out the need for rationing, calling the plan 'just a guide'.
Other countries have enacted various responses to the fuel crisis, including limiting purchases and asking citizens to reduce travel, according to the IEA. The Australian government asked people to consider voluntary measures such as using public transport. Notes from a 13 March meeting of the National Oil Supply Emergency Committee (Nosec) show that representatives from Victoria raised interest in 'thinking in future about what will rationing look like'. The meeting resolved that DCCEEW would 'consider work on how rationing under an LFE declaration would work under a future worst-case scenario'.
By 17 March, Nosec was advancing discussions around rationing, with an executive summary stating it would 'begin conversations next week around planning for fuel rationing/restrictions, noting hesitations around signalling and tempering public panic'. The government has since secured 600 million litres of diesel and 100 million litres of jet fuel in additional cargoes from Singapore, China, Brunei and other nations, and included a $10 billion fuel security package in the budget.
