Canberra, March 27 – Australia's fuel supply looks stable in the short term, but it will become more challenging in the coming months, said Australian Prime Minister Anthony Albanese on Friday.
Addressing a press conference in Parliament House in Canberra regarding the escalating fuel crisis facing the country, Albanese said the government is "working around the clock" to "develop the strongest possible plan" and prepare for what may come.
Albanese noted his "positive" engagements with Malaysia, a key supplier of oil to Australia, and with the wider ASEAN region.
Minister for Climate Change and Energy Chris Bowen said that the country's supply of petrol, diesel, and oil remains unchanged.
"The government has always acknowledged that there are real and unacceptable shortages in regional Australia, given the surge in demand, and it has taken time for that strong domestic supply to materialize," Bowen said.
Albanese will also convene a national cabinet meeting on Monday to address the fuel crisis.
Earlier in the day, Opposition Leader Angus Taylor called on the government to temporarily halve the fuel excise for three months.
The government conceded on Wednesday that about 470 service stations around the country have run out of at least one type of fuel, according to Xinhua news agency.
Earlier on March 24, the Australian Broadcasting Corporation (ABC) had reported that Australia now has only two domestic refineries still operating, while more than 80 per cent of its petrol, diesel, and jet fuel is imported, almost all of it from Asia. ABC added that much of the crude oil used by Asian refiners comes from the Middle East and is mainly shipped through the Strait of Hormuz.
The report stated that the global oil market is facing severe supply disruption, and that markets still appear to be underestimating the duration and impact of the shock. It also noted that even if the Strait of Hormuz reopens, shipping insurance may not recover quickly, meaning the impact on both the global and Australian economies could worsen.